Foreign currency exchange risk is the additional riskiness or perhaps varience of the firm’s cash flows which may be attributed to money fluctuations (Giddy, 1977, Brigham and Ehrhardt, 2005). Normally, foreign currency risk exists in three forms; translation, deal and economical exposures. Foreign currency risk management entails taking decisions which aim minimizing or eliminating the […]
Forex War: Foreign currency war, often known as competitive devaluation, is a symptom in international affairs where countries compete against each other to accomplish a relatively low exchange level for their own currency. Since the price to buy a particular foreign currency falls also does the real price of exports from the country. Imports become […]