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How is the revaluation different from …

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How is the revaluation different from appreciation of a currency ?
  • 1 answers

Sathyanarayana Sairam 6 years, 11 months ago

Revaluation is a significant rise in a county’s official exchange rates in relation to a foreign currency. The process of revaluation can only be done by the central bank of the revaluing country. Appreciation of currency is defined as the increase in the worth of domestic currency as against foreign currency due to the market forces of demand and supply. The only difference is that revaluation is a deliberate action done by the central bank of the country, and appreciation occurs naturally due to the market forces of demand and supply.
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