currency stabilization

Currency stabilization refers to measures taken to maintain the value of a country's currency and reduce fluctuations in its exchange rate. This can be achieved through various methods, such as adjusting interest rates, using foreign exchange reserves, or implementing fiscal policies. Stabilization aims to promote economic confidence, encourage investment, and control inflation, ensuring that the currency remains reliable for international trade and domestic transactions. A stable currency helps consumers and businesses plan for the future, fostering overall economic stability and growth.