Italian word "currency" in the Russian language it's in the middle of the XVIII century.First, it means "payment of a bill," but in the middle of the XIX century, has acquired a new meaning - "the monetary system of the state, backed by gold."In this article we will discuss what the currency.
General
banknotes, coins, treasury notes, which are legal tender, and form the basis of the monetary system of the state, called currency.In the household lexicon, the term is most often used as a currency of a foreign state.To distinguish these two concepts use the following notation:
- closed currency operates within a state;
- reversible can be exchanged for monetary units of another country.
currencies
Each country has a national and foreign currencies.Currency Russia - rubles, which are in circulation, withdrawn from circulation, money in bank accounts in Russia and abroad, are recognized means of payment.The national currency is used for internal calculations, and foreign - for international.The second is the money that are in free circulation or are exempt from it, but are a means of payment in a foreign country or group of countries.For international transactions, currency exchange needs on the basis of the established rate.This is the price of one currency expressed in monetary units of another State.The course is set based on supply and demand in the foreign exchange market.Items for it are currencies: rubles, dollars, yen, and so on.Rates of domestic and foreign currency changed in different directions.Falling value of the internal currency leads to cheaper exports and more expensive imports.
steady course
According to the degree of stability of the courses are divided into the strengths and weaknesses.Hard currency backed by gold reserve, is resistant to the value of other monetary units.For strong characteristic excess of the market price over face value.A weak currency is less stable currency rates to other countries.Its market rate below par.The same currency is in practice the strong and weak against the currencies of different countries.
official exchange rates of foreign currencies to the ruble of the Central Bank sets each working day.They shall enter into force on the following business day after signing and is valid until further notice.These data are published on the Bank of Russia.However, the obligation of banks to buy or sell the currency at this rate there.For individuals and legal entities such information is for reference only.To know the exact exchange rate will have to use currency converter.It can be found at any bank.
specifications currency
Conditions of sales largely depend on the restrictions established by the state and are characterized by a parameter convertibility.It is a specific fiscal regime that allows foreign economic operations in the course of the exchange of national currency for foreign.According to this indicator rates of banks is divided into three groups.
Types convertibility
freely convertible currency (CRS) is freely exchanged for the currencies of other countries, as well as the means of payment are used for calculations in the international operations.In world practice, the main characteristic of turnover are:
- the absence of any restrictions on the exchange;
- presence of a flexible exchange rate.
CRS used for transfers in the international payment system (CLS).It allows individuals and businesses to conduct transactions without the exchange of the national currency in any convertible.
dealt with the question of SIS, go to the question of what the currency is convertible and partially closed (not convertible).
first is a currency with some restrictions on the turnover in a particular region, or for some individuals to several types of operations.It called non-convertible currency which, for economic or political reasons, the government has banned exchanged for banknotes of another country.
Within the partially convertible currency allocate internal and external turnover.Under the first refers to the ability of foreign countries to freely transfer the currency abroad.Inside are the right of citizens and businesses to buy foreign currency for transactions.For the introduction of convertibility of the state should take appropriate law.
Benefits CRS
dealt with the question of what a currency that is freely convertible, go to the question of what advantages it gives to the state.To date, the free turnover is determined by economic power of the country.ICS allows the state to create favorable conditions for improving the balance of payments shows the economic freedom promotes international competition, resulting in the company have to raise the efficiency of production.
In such circumstances, organizations can receive loans in the currency of a foreign state.Stimulated foreign trade activities: by reducing the currency risk is increasing export and import of goods.But at the same time, the rise in price of imports leads to a devaluation of the national currency.The introduction of ICS involves the state in the international division of labor, increasing the inflow of foreign capital and simplifies the procedure for transactions.
Terms formation turnover
These include:
- meet the demand offer on the market;
- availability of the required amount of liquid assets;
- creation of a reserve fund;
- Having a balanced balance of payments;
- state budget deficit, if any, shall not exceed 5% of GDP;
- conduct reasonable pricing policy without distortions, but with the law of value;
- conducting reasonable credit policy interest rate with a rational and targeted financing;
- implementation of effective anti-trust laws to de-monopolization of the economy.
World currencies
Due to the liquidity and the impact of the financial market to foreign currencies accepted to seven currency:
- euro;
- US dollar;
- Canadian, Austrian and Swiss dollars;
- Japanese yen;
- Swiss franc.
in these currencies is increasing the number of contracts, they often trade in the Forex market.
main features of the global currency:
- high liquidity;
- solvency;
- rate stability.
They are used to create reserves.Rates world currency linked.In the fall of the price of one of them increases the cost of the other.And vice versa.
Most European countries have their own currencies and central banks that regulate monetary policy.In 1996 he formed a monetary union, which by 2014 already unites 18 countries.In the euro area supervised by the European Central Bank.Currency acting in this area, - Euro.Since 1999, the euro is used for cashless payments.Since 2002 - for cash payments.Today, the euro competes with the dollar on the turnover and shares in the establishment of reserves.
Another very popular world currency - the US dollar.It is a means of payment in more than twenty countries around the world.The last half-century the dollar - one of the sources for the creation of a reserve currency.Immediately after the Second World War, he drove the British pound.
yen used for transactions in Asia.Settlements in national currency of Japan more than the dollar or the euro.
Approximately 5% of foreign exchange reserves generated in pounds sterling.The national currency of the UK is one of the most stable in the world.
Australian dollar is very popular on the Sydney stock exchange.
Canadian dollar is most often used for the calculations on commodity exchanges to trade with sand, metals and energy.
Currency Russia - ICS
To ruble became fully reversible, it must be supported by material equivalent.In theory, the Russian economy is estimated by independent experts at the highest level, could become such equivalent.But in practice, a more realistic option - the state maintenance of the ruble.Running hard currency, which is not provided by public obligations, as it was with the dollar no longer take place.The euro as a world currency so far holds conditional state status.
Provide status CRS state implies that Russia should be the first requirement to pay material resources.That is, the ruble supply in the world must not exceed the country's financial security.Given the corruption at all levels of government to ensure it is quite difficult.
However, the Russian government has taken all the steps to make the Russian ruble the status of the JMC.Recently, the Bank of Russia announced its intention to fully pass on the ruble.This "thinking" and other lending institutions, including Sberbank.Currency of the Russian Federation in the near future may be included in the list of Continuous Linked Settlement Bank.It is used to calculate the JMC.The Bank of Russia has submitted an application to the CLS, but the answer is no.
Summary
Banknotes issued by one country, but are used as means of payment in other countries, show a high level of development of the state.Ideally, notes and coins should be backed legal status of the country or its national wealth, freely exchanged for banknotes of other countries.That's what a currency that is freely convertible in the world.
