Foreign exchange is referred to as the international exchange. Usually refers to the foreign currency that can be used in the international settlement of claims and liabilities of the various means of payment. Include: foreign currency, foreign currency deposits, foreign currency securities (government bonds, treasury bills, corporate bonds, stocks, etc.), foreign currency payment instruments (bills, bank deposit certificates, postal savings certificates, etc.). [Edit this paragraph] the concept of The concept of foreign exchange has a dual meaning, that is divided into active and passive. Foreign exchange Static concept of foreign exchange and foreign exchange into the concept of narrow and broad concepts of foreign exchange. The narrow sense refers to the foreign exchange currency is a foreign country, in order to universally accepted, can be used for settlement of international claims and liabilities between the various means of payment. It must have three characteristics: affordability (must be based on foreign currency assets), availability (in foreign countries must be able to claim compensation) and for sex (must be freely convertible to other means of payment in foreign currency assets). A broad sense refers to the foreign exchange owned by a country that all of the assets in foreign currencies. International Monetary Fund (IMF) which is defined as: "foreign exchange currency administrative authorities (central banks, monetary authorities, the Exchange Stabilization Fund and the Ministry of Finance) to bank deposits, the Ministry of Finance Treasury Bills, short and long-term government securities and other forms held in the international balance of payments deficit of the claims that can be used. "amendment in 1997, China promulgated the" Regulations on the Management of foreign exchange, "states:" foreign exchange, refer to the following expressed in foreign currencies can be used as a means of international liquidity and assets to pay: ( a) foreign currency, including coins, banknotes and so on; (b) proof of payment in foreign currency, including bills, bank deposit certificates, postal savings certificates, etc.; (c) foreign currency securities, including government bonds, treasury bills, corporate bonds, equities, interest rates votes, etc.; (d) of SDR, the European currency unit; (e) other foreign currency assets. " Foreign exchange Dynamic concept of foreign exchange refers to money flows between countries, as well as a country's currency to be exchanged into the currency of another country to the international debt settlement, debt relations a kind of specialized activities. It is the international exchange rate (ForeignExchange) the short title.