Benign devaluation should be a normal fluctuation, which will lead to an increase in exports and a decrease in imports in the short term.

If it is vicious devaluation, it is malicious short selling and insufficient foreign exchange reserves, which leads to the plundering and harvesting of national wealth. Because spot foreign debts need to be exchanged in local currency, a large number of exports are exchanged for foreign exchange. As a result, the cost of foreign debt repayment has risen, even the national credit rating has declined, the country has gone bankrupt and foreign exchange reserves have dried up.