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Denmark digsits heels in

1/12/2011

Since 1998 Denmark has been part of the currency mechanism ERM II – but has negotiated an opt-out rule, which means that the country doesn’t necessarily have to introduce the Euro. Through ERM II the Danish Crown is fixed to the Euro at a rate of DKK 7.46, with a fluctuation band of 2.5% above or below this.

In some ways the Danes seen to have succeeded with the trick of having their cake and eating it – thanks to the fixed rate against the Euro they have been able to have a currency that goes a long way abroad and which is strong during times of turbulence.

If the general public decided, the DKK will be here to stay. A month ago a survey showed that the no-side increased their lead over the Euro supporters from 5% to 13% compared to the previous figures.


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