Content

A) Terms of Trade

·         Meaning
·         Base Year
·         The UK Terms of Trade
·         Favourable Terms of Trade
·         Unfavourable Terms of Trade

B) Foreign Exchange Market

·         Meaning
·         Need for a Foreign Exchange Market
·         Major Currencies of the world
·         Demand for Rufiyaa in the Foreign Exchange Market
·         Supply of Rufiyaa in the Foreign Exchange Market

C) The Rate of Exchange

·         Meaning
·         Determination of the Rate of Exchange
·         Depreciation and Appreciation
·         Types of Exchange Rate
·         Managing the Rate of Exchange

D) The Balance of Payments

·         The Balance of Trade and Balance of Payments
·         The Structure of the Balance of Payments 
·          The UK Balance of Payments Accounts 2000
·          Surpluses and Deficits in the Balance of Payments
 Surplus and its Utilization
Deficit and its Cures 
·           Equilibrium in the Balance of Payments