Exchange Controls

Posted in Marketing and Strategy Terms, Total Reads: 825

Definition: Exchange Controls

Exchange controls can be understood as some types of rules and regulations by a government to control transactions of foreign and domestic currency. 

Some of the objectives of Exchange controls are

  • Protecting Balance of Payments.
  • Reduction of Burden of Foreign Debt.
  • Raising the Level of Prices.
  • Short-term Fluctuations in Exchange Rate are eliminated
  • Preventing of Export of Capital.
  • Economic Planning.
  • Encouraging Certain Economic Activities

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