Economy of Hungary inflation rates of below, but close to 2% over the medium term". Since Hungary is in the process of catching up (Balassa-Samuelson effect), the long-term objective is a slightly higher figure, around 2.3-3.2%. Therefore, the medium term inflation target of the Hungarian National Bank is 3%. Concerning the exchange rate system, the floating exchange rate system is in use since 26 February 2008, as a result of which HUF is fluctuating in accordance with the effects of the market in the face of the reference currency, the euro. The chart on the right shows forint exchange rates for the British
British currency in the Middle East British West Indies. East Africa and the Middle East were late additions to the British Empire, and by then, the British government had already learned from experience in Canada, India and Hong Kong that it is highly impractical to impose a new currency in the place of already existing practices. In the history of Britain's involvement in the Middle East region, the sterling coinage never formed a part of the circulating currency. The sterling unit of account, however, entered the region through Palestine in 1927, in the form of the Palestine pound. The Palestine pound was introduced into Palestine in