Of course, you have it neatly tucked away in the hidden pockets. But, what good is the money where your cash is just a wad of paper? The note or coins in your wallet become pointless unless they are converted into the currency of the country you are in. Especially in times that you travel through different countries in transit, you would need currency that comes handy.
Voila! Time to think about foreign exchange! Although, very impersonal and an unromantic term,‘foreign exchange’ becomes crucial at the time of foreign travel. So, what is it?
Any currency used in a foreign country other than you own, is foreign currency.When the currency of your country is exchanged for the currency of another it is known as foreign exchange. Simply put, this means that you buy say,an American dollar, by paying the Indian rupee you have.
What is Foreign Exchange?
So, how much does an American dollar cost? The price you pay to buy one American dollar is in fact, the ‘exchange rate’ for the dollar or the value of one dollar against the rupee. But mind you, the price for each currency changes each day. So, assuming the exchange rate for $1 is Rs.60/- it means you can buy one American dollar for sixty rupees that day or, to buy $100 you would pay Rs.6,000/-. Whereas, if the exchange rate for 1 KWD (Kuwaiti Dinar) is Rs. 211.38, it means you can buy one KWD for Rs.211.38/- that day or, to buy 100 KWD you would have to pay Rs.21,138/-
Currency rates are the most volatile of factors in the global economy. Who determines the value of a currency? This is determined in the ‘foreign exchange market’ where currencies are traded in, or currencies are bought and sold at various buying and selling rates. Designated money dealers, often banks, in the foreign exchange market buy and sell foreign currency for a commission.The buying/selling rate includes the dealer’s margin or profit in the trading. Often, liquid cash is transacted in, so as to make resale fast and simple, whereas some prefer buying currency using cheques or other instruments.
Currency rate is volatile since it is easily influenced by economic factors, political conditions and market psychology. So, if a country you are visiting or is travelling through has recently had a shift in government or civil unrest, chances are, the value of that currency would change overnight. Although many factors can change currency value, the most notable one is the political condition within a nation, outside and around it, that can affect currency markets. Political instability and change in government often impact currency exchange rates negatively. Trade among and between foreign exchange dealers can be very large, with huge implications and ripple effects across the market.
If you are generally interested in the money market and want to start watching the major players in the game, then the trading centres you must be looking up are New York, London,Tokyo, Hong Kong and Singapore where combined currency trade happens around the clock.
Currency exchange is all too significant these days when economy and commerce, travel and trade are all transcending borders. Travelling abroad is easily the most common reason for currency exchange. It is only sensible to carry with oneself a reasonable amount in foreign currency. Today options such as traveller’s cheques and travel cards as against liquid cash are easily available from retailers like local money changers, foreign exchange dealers or banks. Airports have foreign exchange selling desks, as do high end hotels in some countries. International credit cards that instantly convert the buyer’s home currency at the then prevailing exchange rate can also be used while shopping abroad.
Now the next question is which foreign exchange dealer you should approach.
It is none other than UAE Exchange India since UAE Exchange India had been the leading global remittance and foreign exchange brands trusted worldwide and known for its penchant for quality and passionate customer service. The organisation was incorporated in India in 1995, and is a Non-Banking Financial Company, and belongs to Authorized Dealer II category of RBI. The products and services also include International Money Transfer (Xpress Money and Money Gram), Online Ticketing & Tours (Domestic & International), Gold Loan, Two Wheeler Loan, Home Loan, Consumer Loan & MSME Loan, Vehicle Insurance, and Share Trading, making it a multiple solution-provider under one roof.
‘UAE Exchange India’ is having 354 branches throughout India out of which 12 foreign exchange offices are located in Mumbai, 4 in Delhi, 7 at Kolkata, 5 at Hyderabad and 7 at Chennai.
To know more about UAE Exchange India’s foreign exchange services and products, call in our toll free number, 1860 3000 1555 or mail us @ email@example.com.