This entry is missing Overview , add relevant content to make the entry more complete, and it can also be upgraded quickly. Hurry up edit Come on! Free exchange refers to the fact that the currency of a country can be freely converted into foreign currency under the condition of paper currency circulation. According to the provisions of the International Monetary Fund, as long as a member country does not restrict the payment of trade and non trade, does not take a variety of differential exchange rate measures, and at the request of another member country, it can exchange the domestic currency of the other party at any time, which is called free exchange, and the currency of that country is called free exchange currency. [1]
- Foreign name
- convertibility
- Role
- Paid out or held as an asset
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Currency convertibility (Currency convertibility) refers to a unified or sound international monetary system Next, one country's currency can be freely exchanged with other countries' currencies through some exchange mechanism. Currency convertibility is a historical concept. Under different socio-economic conditions, currency convertibility has different meanings and different manifestations. It reflects a country's combination of internal and external Monetary economy And the relationship between international currency circulation and international currency in a certain period. Monetary Convertibility (convertibility), which can be traced back to various early Metal currency But the free exchange of currency is traditionally believed to originate from gold standard Times. In the 19th century, major western countries successively implemented the gold standard system. Under this system, money can be freely cashed and circulated internationally without restrictions, which is called Currency convertibility 。 This kind of currency convertibility is an important content or typical feature of the gold standard system. It can be seen from the above that the free exchange of currency originates from International gold standard , which means that gold and Value symbol And gold can be freely exported and imported. Freely convertible currency When the holder of a currency can Currency Exchange If it is the currency of any other country without restrictions, such currency is called Freely convertible currency 。 According to International Monetary Fund Agreement ), the so-called free exchange means that no restrictions shall be imposed on the payment and fund transfer of international current transactions. In other words, this currency can be used unconditionally at any time in international current transactions Means of payment The other party shall also unconditionally accept and recognize its legal value. Non discriminatory monetary policy Measures or multiple Currency exchange rate 。 At the request of another Member State, it is obliged at any time to exchange the domestic currency of the other party in its regular transactions. That is, the member states participating in the agreement have unconditional acceptance Home Currency Obligations. 
