The currency rate represents the relationship between national and international currency. This ration has two ways of expressing:

- Foreign currency/national currency – used in almost all countries

- National currency/ Foreign currency – used in the UK and Canada

The currency used nationaly and internationally has as a correspondent a monetary standard which represents the buying strengtht of a currency. The currency rate must not be confused with the notion of parity that is expressed through the same report. The parity is an abstract notion, theoretical that doesn’t always match the currency rate. The market rate which varies because of the offer and demand on the market is called a quote and it is expressed through the same ratio as the currency rate. The unilateral currency rate set by the monetary unit is called the official rate. You will also encounter the terms of sale exchange rate or purchase exchange rate that indicate the price for which a currency is sold or purchase.    The study of the rate has led to the founding of some explanatory theories that analyse the forming and its importance from different points of view :

- The theory of equal purchasing power – there is a perfect direct relationship between the prices of the goods that are the object of international commerce from a country and the goods from another country. The depreciation of the currency, according to this theory, depends on the inflation rate of those two countries.

- Theory of title availability on the market – it uses a notion called the exchange differential which represents the growth or decrease percentage of the currency rate.

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