Exchange Rate Mechanism
(ERM)
One of the components for the establishment of the single European currency. It provided a central exchange rate for national currencies against the European Currency Unit, thereby intending to stabilise exchange rates, encourage trade within Europe and control inflation. The ERM ceased in 1992.

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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  • Exchange Rate Mechanism — noun A former arrangement to regulate exchange rate fluctuations between participating currencies in the EMS by fixing their rates, and limiting fluctuation, against the ECU (abbrev ERM) • • • Main Entry: ↑exchange …   Useful english dictionary

  • Exchange Rate Mechanism — (ERM) method for protection of a stable exchange rate, part of a monetary organization of the EEC that began working in 1999 …   English contemporary dictionary

  • Exchange Rate Mechanism — ( ERM) The methodology by which members of the EMS maintain their currency exchange rates within an agreed upon range with respect to other member countries. Bloomberg Financial Dictionary * * * Exchange Rate Mechanism Exˈchange Rate ˌMechanism… …   Financial and business terms

  • exchange rate mechanism — ex change rate .mechanism n [U] ERM a system for controlling the exchange rate between the money of one country and that of another …   Dictionary of contemporary English

  • Exchange Rate Mechanism — (ERM)    Introduced as part of the European Monetary System in 1979, the ERM was the first stage of a plan for closer financial integration within the European Union. It was designed to minimise currency exchange fluctuation among the countries… …   Glossary of UK Government and Politics

  • exchange rate mechanism — noun (U) a system for controlling the exchange rate between the money of one country and that of another; erm …   Longman dictionary of contemporary English

  • exchange rate mechanism — /ɪks tʃeɪndʒ reɪt ˌmekənɪz(ə)m/ noun a method of stabilising exchange rates within the European Monetary System, where currencies could only move up or down within a narrow band (usually 2.25% either way, but for certain currencies widened to 6%) …   Dictionary of banking and finance

  • exchange-rate mechanism — ➡ ERM. * * * …   Universalium

  • Exchange Rate Mechanism — ERM See: European Monetary System …   Accounting dictionary

  • Exchange Rate Mechanism — ERM See European Monetary System …   Big dictionary of business and management

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