Journal Press India®

Performance of Handicraft Sector in Bhutan with Fluctuating Foreign Exchange Rates

Vol 9 , Issue 1 , January - June 2020 | Pages: 1-5 | Research Paper  

https://doi.org/10.51976/gla.prastuti.v9i1.912001


Author Details ( * ) denotes Corresponding author

1. * K. B Singh, DCFS, Central University of Jharkhand, Ranchi, Jharkhand, India (kbsingh@outlook.com)

The exchange rate is the domestic price of a unit of foreign currency. There has always been a consistent fluctuation in the exchange rate of Bhutanese currency against major currencies. These fluctuations in exchange rates obstruct businesses involved in international trade. Micro-Small and Medium Enterprises such as the handicraft sector are one of the major exporters in Bhutanand helps in the generation of the scarce foreign reserve for the economy. This study explains the movement of import and export figures of the handicraft sector with fluctuation of the exchange rate. The annual export and import figures and the annual average exchange rate between the US dollar and Ngultrum (the Bhutanese currency) from 2013 to 2019 have been used for analysis.  The study shows how the import and export of handicrafts move when the Bhutanese currency appreciates and depreciates with USD. Further, the study finds that there is a positive correlation between export-import and exchange rate, but this is high for imports.

Keywords

International Trade, Export, Import, Exchange rate, Balance of Trade.

  1. Cashin, P., & Sahay, R. (2004). Commodity Currencies and the Real. Journal of Developmental Economics, 239-268.
  2. Chen, Y. C., & Rogoff, K. (2003). Commodity Currencies and Empirical Exchange. Journal of International Economics, 133-160.
  3. Engel, C., Mark, N. C., & West, K. D. (2007). Exchange rate model are not as bad as you think. Nber working paper series, 110-112.
  4. Hossain, M. (2009). Institutional Development and the Choice of Exchange. The Journal of the Japanese and, 46-53.
  5. Islam, M. A. (2003). Exchange Rate Policy of Bangladesh. CPD Occasional Paper series,, 3-5.
  6. Rodriguez, C. A. (1980). The Role of Trade Flows in Exchange Rate Determination. The Journal of Political Economy, 1148-1158.
  7. Shafiq, a. r., alif, a. s., & khan, h. (2012). Determinants of exchange rate and its impact on pakistani economy. Global journal of management and business research, 110-115.
  8. Twarowska, k., & kakol, m. (2014). Analysis of factors affecting fluctuatuion in exchange rate of polish zloty against euro. Human capital without borders, 15-18.
  9. Uddin, k. m., Quaosar, G. a., & Naudi, d. c. (2013). Factors affecting the fluctuation in exchange rate of bangladesh. The international journal of social sciences, 30-37.
Abstract Views: 30
PDF Views: 1215

Advanced Search

News/Events

Institute of Managem...

Deccan Education Society Institute of Management Development and Re...

S.B. Patil Institute...

Pimpri Chinchwad Education Trust's S.B. Patil Institute of Mana...

D. Y. Patil IMCAM, A...

D. Y. Patil Institute of Master of Computer Applications & Managem...

Vignana Jyothi Insti...

Vignana Jyothi Institute of Management International Conference on ...

Department of Commer...

Department of Commerce, Faculty of Commerce & Business, University...

Birla Institute of M...

Birla Institute of Management Technology (BIMTECH) 3rd Pritam Singh M...

OP Jindal University...

OP Jindal University, India 4th International Conference on  ...

Department of MBA, N...

Department of MBA, Narayana Engineering College Nellore International...

Vignana Jyothi Insti...

Vignana Jyothi Institute of Management Conference Proceedings,...

Online Proceedings R...

Conference Proceedings, March 2023 ISBN: 978-81-956810-6-8 ...

By continuing to use this website, you consent to the use of cookies in accordance with our Cookie Policy.