Revaluation ( English value - value ) - an increase in the national currency in relation to the currencies of other countries, international monetary units, gold . The opposite of devaluation .
Description
Prior to the abolition of gold parities, revaluation was accompanied by a simultaneous increase in the gold content of the currency . For a country revaluing its currency, there is an opportunity to purchase foreign currency cheaper. Therefore, they resort to revaluation when the interests of capital exporters and importers of goods prevail over the interests of debtors and exporters of goods. Revaluation is also used to fight inflation and to curb the growth of the balance of payments surplus. In the context of paper money devaluation and revaluation are mainly used to regulate the exchange rate of national currencies . In the domestic market, under the influence of inflation, its purchasing power may decrease, albeit to a lesser extent than in other countries.
See also
- en: Currency appreciation and depreciation
Links
- Revaluation // TSB