Page 135 - eBook: EXIM for Beginner
P. 135
Bill of Exchange
Why is a bill of exchange
needed?
A bill of exchange helps to
counter some of the risks
involved with exporting. Long-
term trading arrangements
between firms in different
countries can be badly
effected by exchange rate
fluctuations, so the fixed
payment terms laid out in
a bill of exchange provides
exporters with the assurance
of a fixed price.
