Okuzeka
International Trade vocabulary · Foreign Exchange

Foreign currency

Meaning in international trade, with examples

nounCore term

In international trade, foreign currency means: Money in the currency of another country, such as US dollars or euros for a company based in Turkey.

In Turkish: döviz, yabancı para

How it is used

Used in banking, accounting and contracts: 'foreign currency account', 'invoice in foreign currency', 'foreign currency earnings'. In speech people often say 'FX' or simply name the currency.

Example sentences

  1. All our export sales are invoiced in foreign currency, mainly euros.

  2. The export proceeds were credited to our foreign currency account.

Common collocations

  • foreign currency account
  • invoice in foreign currency
  • foreign currency earnings
  • convert foreign currency
  • exchange rateThe price of one currency expressed in another, for example how many Turkish lira you need to buy one euro.
  • currency riskThe risk that a change in exchange rates will reduce the value of money you will receive, or raise the cost of money you will pay, in another currency.
  • telegraphic transferAn electronic transfer of money from one bank to another, usually through the SWIFT network; in trade it is the normal way to send advance or open-account payments.
  • spot rateThe exchange rate for buying or selling a currency for immediate delivery, which for most currencies means settlement within two business days.

More terms: Foreign Exchange

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