Dirty Float

A dirty float is a way a country's currency value is managed where the exchange rate is mostly determined by market forces, like supply and demand, but with occasional government intervention. Unlike a free-floating currency, where the government doesn't influence the rate, or a fixed rate, where it's held steady, a dirty float allows authorities to occasionally buy or sell their currency to stabilize or influence its value. This approach aims to balance the benefits of market-driven rates with some control to prevent excessive fluctuations that could harm the economy.