When the local currency depreciates, the amount of local currency converted by unit foreign currency increases, and foreign exchange settlement locks in foreign exchange to avoid gains, which is a loss. On the contrary, it is earning.

Is to lock the exchange rate. In banks, this business is called forward settlement and sale of foreign exchange. In the case of frequent exchange rate fluctuations, banks handle the operation of locking the exchange rate for enterprises. On the day of settlement of foreign exchange, it is not according to the foreign exchange quotation of the day, but according to the previously determined exchange rate.