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Foreign Exchange Management

CATEGORY

Finance

Definition

Foreign exchange management encompasses the planning, execution, and oversight of transactions, strategies, and policies related to the exchange of currencies in international trade, investment, and financial transactions. Foreign exchange management involves assessing and managing currency risks, optimizing foreign exchange rates, hedging currency exposures, and complying with regulatory requirements governing foreign exchange operations. Effective foreign exchange management enables businesses, investors, and financial institutions to mitigate currency volatility, minimize transaction costs, and enhance financial performance in global markets.

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