Today Denmark instead participates in the Exchange Rate Mechanism II (ERM II) with a fluctuation band of ±2.25%. ERM II is a fixed exchange rate regime where the participating countries will have to follow the exchange rate level of the euro. The ERM II is a fixed exchange rate regime, in which the Danish currency and other participating countries' currency are pegged to the euro. Currently Denmark is one of the two countries participating in the ERM II (the other being Bulgaria).
