Say the central bank of XYZ set a fixed rate of 100 $xyz per USD but it becomes illegal to buy USD and no any bank is willing to sell you USD. In a country like the United States you might hedge against inflation by buying some treasuries.. but in other places they just make it illegal to do anything else.
This automatically creates a “black market” of USD where the price is whatever the people are willing to pay, in the end the free market finds its way.
This automatically creates a “black market” of USD where the price is whatever the people are willing to pay, in the end the free market finds its way.