Meaning of the Term “Foreign Exchange”, Exchange Market, Statutory basis of Foreign Exchange, Evolution of Exchange Control, Outline of Exchange Rate and Types, Import Export
India’s Forex Scenario: BOP crisis of 1990, LOERMS, Convertibility.
Introduction to International Monetary Developments: Gold standard, Bretton Woods’s system, Fixed Flexible Exchange Rate Systems, Euro market.
This presentation is a comprehensive presentation of Forex Market. It starts with the history of this market from Pre Gold period, Bretton wood till current floating exchange mechanism and in Indian perspective FERA and FEMA. It then gives you an idea on size, width and extent of this market and post that it covers forex exchange, quotes, and numerical. Finally, it covers few topics like Trade Finance, LIBOR, Balance of Payment & Currency Swaps
Meaning of the Term “Foreign Exchange”, Exchange Market, Statutory basis of Foreign Exchange, Evolution of Exchange Control, Outline of Exchange Rate and Types, Import Export
India’s Forex Scenario: BOP crisis of 1990, LOERMS, Convertibility.
Introduction to International Monetary Developments: Gold standard, Bretton Woods’s system, Fixed Flexible Exchange Rate Systems, Euro market.
This presentation is a comprehensive presentation of Forex Market. It starts with the history of this market from Pre Gold period, Bretton wood till current floating exchange mechanism and in Indian perspective FERA and FEMA. It then gives you an idea on size, width and extent of this market and post that it covers forex exchange, quotes, and numerical. Finally, it covers few topics like Trade Finance, LIBOR, Balance of Payment & Currency Swaps
Meaning of the Term “Foreign Exchange”, Exchange Market, Statutory basis of Foreign Exchange, Evolution of Exchange Control, Outline of Exchange Rate and Types, Import Export
India’s Forex Scenario: BOP crisis of 1990, LOERMS, Convertibility.
Introduction to International Monetary Developments: Gold standard, Bretton Woods’s system, Fixed Flexible Exchange Rate Systems, Euro market.
Forex management Study Note Calicut universityAmal James
UNIVERSITY OF CALICUT
MASTER OF BUSINESS ADMINISTRATION
BUS4E F05/IB05 FOREX MANAGEMENT
Time 60 hours 4 credits
Module I
Meaning of the Term “Foreign Exchange”, Exchange Market, Statutory basis of Foreign Exchange, Evolution of Exchange Control, Outline of Exchange Rate and Types, Import Export India’s Forex Scenario: BOP crisis of 1990, LOERMS, Convertibility.Introduction to International Monetary Developments: Gold standard, Bretton Woods’s system, Fixed Flexible Exchange Rate Systems, Euro market.
Module II
Finance Function: Financial Institutions in International Trade. Non-resident Accounts: Reparable and Non Reparable, Significance for the Economy and Bank. Methods of IN Trade Settlement: Open Account, Clean Advance, Documentary Credit, Documentary Collection. -- Documentary Credits (Letter of Credit): Types of LC – Parties, Mechanism with illustration.
Module III
Documents involved in International trade: Statutory Documents, Financial Documents, Transport Documents, Risk Bearing Documents. INCOTERMS: C.I.F., F.O.B., C.I.P. Financing of Imports by Opening of Letter of Credit: Documents required, Trade and Exchange Control Formalities, Sanction of LC Limit. -- Export Finance: Financing of Export/ Deemed Export: Pre ship, and Post Ship Finance, Export Methods --, E.C.G.C. and other formalities. Uniform Custom Practices of Documentary Credits -- Uniform Rules Collection
Module IV
Introduction to Exchange Rate Mechanism: Spot- Forward Rate, Exchange Arithmetic - Deriving the Actual Exchange Rate: Forwards, Swaps, Futures and Options. Guarantees in Trade: Performance, Bid Bond etc.
What Is an Exchange Rate Mechanism (ERM)?
An exchange rate mechanism (ERM) is a set of procedures used to manage a country's currency exchange rate relative to other currencies. It is part of an economy's monetary policy and is put to use by central banks.
Such a mechanism can be employed if a country utilizes either a fixed exchange rate or one with a constrained floating exchange rate that is bounded around its peg (known as an adjustable peg or crawling peg).
Basic psychological process, Perception, Factors influencing perception, Characteristics of Perceiver, Attribution theory, Specific applications in organizations, Learning, Theories of learning, using learning concepts for self-management, implications for performance and satisfaction, Remembering, Basic motivational concepts, Theories of motivation, Implications for performance and satisfaction, Operant Conditioning Theory, Cognitive Learning Theory, Social Learning Theory, Types of Memory, Maslow’s Hierarchy of Needs, Herzberg’s Motivation Hygiene Theory, Two factor theory, Alderfer’s ERG Theory, McClelland’s Need Theory, Theory X and Process Theories of Motivation, Equity Theory, Expectancy theory, Porter And Lawler Model Of Motivation,Calicut university OB
Managerial Decision making, definition of managerial economics, scope of managerial economics, Economics of a Business, goals of a firm, Economic goal of the firm, Goals other than profit, optimal decision making, optimal decision making process
Functions of management, Planning, Types of plan, Hierarchy of plans, Planning premises, types of plan, planning process, Organizing, Organisation structure, types of organisation structure, Principles of Organising, span of control, line and staff functions and conflicts, centralization, decentralization, delegation, staffing, manpower planning, recruitment, selection and placement, induction,training,directing, principles of direction, coordination, controlling.
Marketing management, nature of marketing, importance of marketing, Evolution of marketing concept, Marketing environment, Micro environment of marketing, macro environment of marketing, Domestic marketing, international marketing, definition of marketing, definition of marketing management, marketing concepts, types of marketing, components of micro environment, components of macro environment, Calicut university MBA
Organizational basis for behavior, Contributing disciplines to the OB field, Why managers require knowledge of OB, Need for a contingency approach to the study of OB,Emerging challenges and opportunities for OB,The organization as a system, System approach to organizational behavior, Managerial functions, The organization and people,OB, Calicut university organizational behavior module 1,organizational behavior, importance of OB,Strength of Contingency Approach, system approach, functions of a manager, functions of management
Finance Function, Financial Institutions in International Trade,5 Non resident Accounts, Repatriable and Non Repatriable bank accounts, Significance of non-resident accounts for the Economy, Methods of Trade Settlement,Open Account, Cash in Advance, Documentary Credit, Documentary Collection, Documentary Credits, Letter of Credit, Types of LC,Parties of letter of credit, Mechanism of LC with illustration, world bank group, International monetary fund, special drawing rights, regional development banks, IBRD,IDA,IFC,MIGA,ICSID,role of NRI,methods of payment, types of letter of credit, process of letter of credit,LC
Special contracts,indemnity,guarantee,bailment,Pledge, agency, modes of creation of agency, sale of goods, hire purchase, rules of transfer of property in goods, delivery of goods, rights of an unpaid seller, auction sale, agency by estoppel,ratification,operation by law, express agreement, implied authority, agency by holding out, agency by necessity, Calicut MBA, MG University MBA
Business environment, concept, significance and nature of business environment, elements of environment, internal and external environment, changing dimensions of business environment, environmental scanning and monitoring, Economic environment of business, economic planning in India, industrial policy, fiscal policy, monetary policy, export& import policy, public sector and economic development, economic reforms, liberalization and structural adjustment programs.
How to Split Bills in the Odoo 17 POS ModuleCeline George
Bills have a main role in point of sale procedure. It will help to track sales, handling payments and giving receipts to customers. Bill splitting also has an important role in POS. For example, If some friends come together for dinner and if they want to divide the bill then it is possible by POS bill splitting. This slide will show how to split bills in odoo 17 POS.
We all have good and bad thoughts from time to time and situation to situation. We are bombarded daily with spiraling thoughts(both negative and positive) creating all-consuming feel , making us difficult to manage with associated suffering. Good thoughts are like our Mob Signal (Positive thought) amidst noise(negative thought) in the atmosphere. Negative thoughts like noise outweigh positive thoughts. These thoughts often create unwanted confusion, trouble, stress and frustration in our mind as well as chaos in our physical world. Negative thoughts are also known as “distorted thinking”.
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
Unit 8 - Information and Communication Technology (Paper I).pdfThiyagu K
This slides describes the basic concepts of ICT, basics of Email, Emerging Technology and Digital Initiatives in Education. This presentations aligns with the UGC Paper I syllabus.
The Indian economy is classified into different sectors to simplify the analysis and understanding of economic activities. For Class 10, it's essential to grasp the sectors of the Indian economy, understand their characteristics, and recognize their importance. This guide will provide detailed notes on the Sectors of the Indian Economy Class 10, using specific long-tail keywords to enhance comprehension.
For more information, visit-www.vavaclasses.com
This is a presentation by Dada Robert in a Your Skill Boost masterclass organised by the Excellence Foundation for South Sudan (EFSS) on Saturday, the 25th and Sunday, the 26th of May 2024.
He discussed the concept of quality improvement, emphasizing its applicability to various aspects of life, including personal, project, and program improvements. He defined quality as doing the right thing at the right time in the right way to achieve the best possible results and discussed the concept of the "gap" between what we know and what we do, and how this gap represents the areas we need to improve. He explained the scientific approach to quality improvement, which involves systematic performance analysis, testing and learning, and implementing change ideas. He also highlighted the importance of client focus and a team approach to quality improvement.
The French Revolution, which began in 1789, was a period of radical social and political upheaval in France. It marked the decline of absolute monarchies, the rise of secular and democratic republics, and the eventual rise of Napoleon Bonaparte. This revolutionary period is crucial in understanding the transition from feudalism to modernity in Europe.
For more information, visit-www.vavaclasses.com
The Art Pastor's Guide to Sabbath | Steve ThomasonSteve Thomason
What is the purpose of the Sabbath Law in the Torah. It is interesting to compare how the context of the law shifts from Exodus to Deuteronomy. Who gets to rest, and why?
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
2. FOREIGN EXCHANGE-MEANING
The system by which the type of money used in one country is
exchanged for another country's money, making international
trade easier.
3. Exchange Market
A Market engaged in the buying and selling of Foreign
currencies. Such a market is required because each country
involved in international trade and investment has its own
domestic currency and this needs to be exchanged for other
currencies in order to finance trade and capital transactions.
4. Factors that influence exchange rates
The main factors that cause changes and fluctuations in
exchange rates and outlines the reasons for their volatility.
Interest Rates
Recession
Current Account/Balance of Payments
Terms of Trade
Government Debt
Political Stability and Performance
5. Meaning of exchange control
Foreign exchange control refers to the process of restricting
transactions involving foreign exchange either by a government or the
central bank. When foreign exchange control is in force the market
forces will not be able to operate freely because of the restrictions
imposed.
In fact, the International Monetary Fund has a specially laid out
provision named article 14, which strictly allows only transitional
economies to implement foreign exchange controls
6. Evolution of currency exchange control rate
in India
1. Until 1973, the central bank (Reserve Bank of India) kept the Rupee
linked to the Pound Sterling.
2. From 1975 onwards, a managed floating exchange rate system, linked
to a basket of currencies (major trading partners’), was followed.
3. Increased trade deficit led the RBI to devalue Rupee twice in 1991.
The central bank also adopted the Liberalized Exchange Rate
Management Systems under which a dual (effective and market) rate
was followed.
4.From 1993, market determined unified exchange rate is followed.
7. Foreign Exchange Rate
Exchange rates is an amount of the domestic
currency you will have to pay to obtain a unit
of a foreign currency
8. Types of foreign exchange rates
Fixed Exchange Rate System
Flexible Exchange Rate System
Managed Floating Rate System
9. Fixed exchange rate system/pegged exchange
rate system
Fixed exchange rate system refers to a system in which
exchange rate for a currency is fixed by the government.
A fixed currency system is relatively well protected against the
rapid fluctuations in inflation. Some countries following a
fixed rate system include Denmark, Hong Kong, Bahamas &
Saudi Arabia.
10. Flexible exchange rate /floating exchange rate
system
Flexible exchange rate system refers to a system in which exchange rate is determined by forces of
demand and supply of different currencies in the foreign exchange market. There is no official
(Government) intervention in the foreign exchange market.
11. Managed floating rate system
It refers to a system in which foreign exchange rate is
determined by market forces and central bank
influences the exchange rate through intervention in
the foreign exchange market. It is a hybrid of a fixed
exchange rate and a flexible exchange rate system.
12. India’s forex scenario
In 2018, the forex market in India is among the top ten markets in the
world.
In 2017, the forex assets in India is the 8th best market in the world
by forex reserves.
The top asset in this market is the United States as represented by US
institutional bonds and government bonds. The Indian forex reserves
are also held in terms of gold. India is the first nation in the world in
terms of gold consumption.
13. India’s forex scenario
The daily turnover for the market is well over several billion dollars down from a couple of millions
when it started.
The Indian forex market has several forex players that facilitate the exchange of currency. The markets
in these exchanges have several listed brokers and authorized institutions.
There are several non-bank financial institutions that are legally authorized to facilitate trade in the
Indian market. These institutions are regulated by the FEDAI and they use the USP for better rates of
exchange.
The market is open 24 hours every day and it is linked to the rest of the world markets.
The diversity of the market is not as entrenched and the total value of the market is mostly big in terms
of assets but not as big in terms of transaction rates.
14. BOP CRISIS OF 1990
During the 7th plan, between 1985-86 and 1989-90, India’s trade deficit amounted to Rs. 54, 204
Crore. The net invisible was Rs. 13157 Crore and India. The net invisible was Rs. 13157 Crore and
India’s BOP was Rs. 41047 Crore. India was under a severe BOP crisis.
The things became worse by the 1990-91 Gulf war, which was accompanied by double digit
inflation. India’s credit rating got downgraded. The country was on the verge of defaulting on its
international commitments and was denied access to the external commercial credit markets. In
October 1990, a Net Outflow of NRI deposits started and continued till 1991. The only option left to
fulfil its international commitments was to borrow against the security of India’s Gold Reserves as
collateral. The immediate response of the government was to secure an emergency loan of $2.2
billion from the International Monetary Fund by pledging 67 tons of India’s gold reserves as
collateral.
In 1991 the government started several reforms which are collectively called “Liberalization”. This
process brought the country back on the track.
15. Liberalized Exchange Rate management
System(LERMS)
LERMS was introduced in March 1992. According to this 40% of the
foreign exchange earned by an exporter is converted at the official RBI
rate, and 60% is converted at a “Market Determined Rate”, which is
bound to be higher. The 40% of the exchange surrendered to the RBI
and converted at the official rate will be used for import of essential
items such as petroleum products, fertilizers, defense expenditure and
life saving drugs
16. Gold Standard
A monetary standard under which the basic unit of currency
is equal in value to and exchangeable for a specified amount
of gold. It is a system in which the value of a currency is legally
fixed in terms of how much gold it is worth.
17. Advantages of gold standard
Simplicity –it can be easily understood by the general public.
Public Confidence- Gold standard promotes public confidence
because gold is universally desired because of its intrinsic value.
Automatic Working- Under gold standard, the monetary system
functions automatically and requires no interference of the
government.
Price Stability- Gold standard ensures internal price stability.
Exchange Stability- Gold standard ensures stability in the rate of
exchange between countries.
18. Bretton woods system
The delegates of 44 countries met in Bretton Woods in July 1944 with
the principal goals of creating an efficient foreign exchange system,
preventing competitive devaluations of currencies, and promoting
international economic growth. The Bretton Woods Agreement and
System were central to these goals. The Bretton Woods Agreement also
created two important organizations—The International Monetary
Fund (IMF) and the World Bank. While the Bretton Woods System was
dissolved in the 1970s, both the IMF and World Bank have remained
strong pillars for the exchange of international currencies.
19. Objectives of Bretton Woods System
Provide stable exchange rates to encourage investment and economic
growth
Encourage countries to maintain low inflation / competitiveness – in
order to maintain value of exchange rate.
Try to prevent competitive devaluation – where countries seek to
gain short-term advantage by reducing value of currency.
20. Euro Market
A Euromarket can be used to describe the financial market for
eurocurrencies.
The Euromarket includes countries that have fixed external tariffs and
no internal tariffs, and follow the monetary policy set by the European
Central Bank. While many member states do use the Euro as their
common currency, the Euromarket applies to all states in the EU.