Pegged Currency
A currency whose exchange value is fixed directly to another currency, such as the US Dollar.
Detailed Definition
A pegged (or fixed) exchange rate is maintained when a central bank pegs its domestic currency's value to a major foreign reserve currency (e.g., UAE Dirham pegged at 3.6725 per USD, or Saudi Riyal pegged at 3.75 per USD) by intervening in the market using foreign exchange reserves.
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