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Hedging Foreign Exchange Exposure for Foreign Currency Risk

Hedging Foreign Exchange Exposure for Foreign Currency Risk

Paperback

General Law

ISBN10: 6208422469
ISBN13: 9786208422462
Publisher: LAP Lambert Academic Publishing
Published: Jan 27 2025
Pages: 108
Weight: 0.34
Height: 0.26 Width: 6.00 Depth: 9.00
Language: English
This study explores the impact of hedging foreign exchange exposure on managing currency risks among five tea exporting companies in Rwanda. Using a descriptive and correlational design, data was collected through questionnaires and interviews with 50 respondents. Findings revealed that hedging transaction, translation, and operational exposures significantly influence currency risk control, explaining 97.8% of the variation. The study recommends evaluating cash flows from hedging techniques, promoting diversification, and avoiding inaccurate earnings forecasts to enhance risk management. Further research on factors hindering effective currency exposure management is suggested.

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Joselyne, Muhawenimana

Also in

General Law