Why do central banks intervene in the foreign exchange market?

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MASTER OF COMMERCE – M.Com Fisrt Year (IBO) Solved Assignments for July 2019 and January 2020 Admission Cycles

IBO Tutor Marked Solved Assignment

Course Code : IBO – 06
Course Title : International Business Finance
Assignment Code : IBO-06/TMA/2019-20
Coverage : All Blocks

IBO – 06 International Business Finance Solved Assignment for 2019-20

Question 2. (a) Why do central banks intervene in the foreign exchange market? What are the consequences of their intervention?

ANSWER: