Pakistan’s GDP and KSE’s prices: A relationship analysis I. Introduction Exchange rates‚ GDP and KSE index 2.1 Exchange rates (ER) are not autonomous in nature‚ these are determined by the forces of demand for and supply of major medium of currency (mostly US dollar in Pakistan) used in imports and exports trade. Whereas the volumes of imports and changes therein seem to be the major source to determine demand for US dollar in Pakistan‚ the value and changes in exports appear to be the major
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sufficiency of which are hereby acknowledged‚ the undersigned parties agree and state that they wish to enter into this agreement for the exchange of United Sates Dollars (USD) against Euros (EUR) under the terms and conditions described below. This currency exchange transaction will be a bank-to-bank transaction‚ to be executed via swift-transmittal transfer upon usual bank to bank procedure. . 1. Description of the transaction . Type of the transaction PRIVATE FOREIGN EXCHANGE
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developed and he developing nations. The Impossible Trinity defined In a world where financial globalisation and market interdependence is ever growing in importance‚ countries around the world would all want the ideal currency regime. The three sought after attributes of the ideal currency would be exchange rate stability‚ full financial integration and monetary independence. These three goals identified as the “Impossible Trinity”‚ meaning that only two of them could be achieved simultaneously thus
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AUGUST 2012 The Reserve Bank of India (RBI) introduced the RBI Working Papers series in March 2011. These papers present research in progress of the staff members of RBI and are disseminated to elicit comments and further debate. The views expressed in these papers are those of authors and not that of RBI. Comments and observations may please be forwarded to authors. Citation and use of such papers should take into account its provisional character. Copyright: Reserve Bank of India 2012
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EURO CURRENCY MARKETS: EURO CURRENCY MARKETS Learning objectives: Learning objectives Euro Money Euro Deposits Euro Currency Euro Banking/ International Banking Loan Syndicate (Syndication) Euro Money: Euro Money Concept of money Why Euro money? How it is created? Reasons for growth of the market. Concept of Money: Concept of Money Capable of being used as medium of exchange Possible to store value through the asset Serves as unit of account It can be used as means of deferred payment
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completes the statement or answers the question. 1) The currency used to buy imported goods is A) the buyer’s home currency. C) the currency of a third country. 1) B) the seller’s home currency. D) special drawing rights. 2) 2) If portable disk players made in China are imported into the United States‚ the Chinese manufacturer is paid with A) international monetary credits. B) dollars. C) yuan‚ the Chinese currency. D) euros‚ or any other third currency. 3) If the United States sells beef to Japan‚ the
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at an independent domestic branch. Accounting at the Head Office: The trial balance received by the Head Office from the foreign branch is in foreign currency. Therefore‚ before incorporating the items in the trial balance of the foreign branch‚ the Head Office is required to convert the various items in the trial balance into the currency of the Head Office. Thereafter‚ it has to incorporate the items in the Converted Branch Trial Balance in its books‚ prepare the Branch Trading and Profit and
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South African context. Exchange control and its uses Exchange controls are restrictive measures used to control the in- and outflow of foreign and domestic currencies in order to prevent uncontrollable large scale movements of capital. (SARB (b)) The exchange rate is the rate at which a domestic currency is traded for a foreign currency and is determined by the demand and supply of money in a managed flexible exchange regime. (SARB (b)) Disadvantages of tightly managed exchange control • Exchange
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Reserve Bank of India India - Macroeconomic Situation Assessment and Prospects Indian Merchants’ Chamber Mumbai June 19‚ 2012 Dr. Duvvuri Subbarao Governor Reserve Bank of India 1 India Macroeconomic Situation Cause for Concern? 2 India - Macroeconomic Situation Trends in Growth Rate Long-Term Trend 10.0 9.0 8.0 7.0 6.2 Per cent 8.5 5.6 8.0 Percent 7.5 7.0 6.5 6.0 5.5 5.0 6.5 8.7 7.5 10.0 9.5 9.6 Recent Trend 9.0 6.0 5.0 4.0 3.0 2.0 1.0 0.0 3 India Growth
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kept its currency trading on international currency markets within a narrow band around this target Currencies are no different than any other good; the exchange rate‚ or the “price” of one currency relative to another‚ is determined by supply relative to demand Two tools for propping up the value of the currency in the face of market pressure pushing it down: The government could use its reserves of other foreign currencies to buy their currency- directly boosting demand for the currency The government
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