Settlement of foreign exchange refers to the behavior that the owner of foreign exchange income sells his foreign exchange income to the designated foreign exchange bank, and the designated foreign exchange bank pays the equivalent local currency at a certain exchange rate.

Simply put, it is to change foreign currency into RMB.

It is the opposite of selling foreign exchange.

Sale of foreign exchange: designated foreign exchange banks sell foreign exchange to foreign exchange users and charge the equivalent RMB at the RMB exchange rate on the transaction day.