1.   As the steward of the anchor currency in the European monetary system, the Bundesbank sets no exchange-rate target itself.

2.   A CBS requires our rupiah to be set at a fixed rate of exchange to an anchor currency.

3.   It requires a domestic currency to trade, without restrictions, at an absolute fixed exchange rate with an anchor currency.

4.   It will peg the rupiah at a fixed exchange rate to the chosen anchor currency, say, the U.S. dollar.

5.   Italian Prime Minister Romano Prodi had earlier acknowledged that the key problem was the level of the lira against the German mark, the anchor currency in the ERM.

6.   Prodi acknowledged that the key problem was the level of the lira against the German mark, the anchor currency in the ERM.

7.   The anchor currency may also circulate in the country but people are not obliged to accept it.