Question

Why is there difference between import and export exchange rates determined by cbic

Answer 1

The exchange rate has an effect on the trade surplus (or deficit), which in turn affects the exchange rate, and so on. In general, however, a weaker domestic currency stimulates exports and makes imports more expensive. Conversely, a strong domestic currencyhampers exports and makes importscheaper.

Also the success of the policy is affected by the effect of foreign exchange rates on imports and exports, in terms of a reduction in the foreign trade deficit. ... The purpose of this research is to determine the impact of exchange rates on the imports and exports of emerging countries.