Struggles and Decline: South Africa’s Currencies and their Challenges

South Africa’s Currencies

Amid South Africa’s recent struggles, the rand has declined in value. Its trajectory is influenced by global developments, such as the price of gold, which is one of the country’s main exports.

The rand was first introduced in 1961 when the country became a republic. It started off strong, trading at a rate of 1.40 USD to 1 rand.

The rand

South Africa is famous around the world for its stunning vistas, vibrant musical heritage, inspiring leaders like Nelson Mandela, and colorful currency, the rand. However, it is also a country struggling to overcome the legacy of apartheid and the effects of a global economic slowdown.

A currency is a medium of exchange, and its value depends on how well it performs when compared to other currencies. This can be measured in several ways, including by its exchange rate against the US dollar or British pound sterling, or by looking at how much buying power it has. Often, a currency’s buying power can also be determined by its inflation rate.

The krugerrand

The krugerrand was created in 1967 to market South African gold. Its name combines the surname of Paul Kruger and the word rand, which refers to South Africa’s unit of currency. The obverse of the coin displays Paul Kruger’s profile, while the reverse features a springbok antelope.

The coin’s weight and markings are important factors for verifying its authenticity. A genuine krugerrand will weigh exactly one ounce, while counterfeit coins may be underweight or show signs of wear.

Although it was originally minted to act as circulating money, the krugerrand is valued exclusively for its bullion content. Its alloy was created with durability in mind, and the gold is 22 karats.


The rand was introduced on 14 February 1961, replacing the South African pound at a rate of two rands to one pound. It is subdivided into 100 cents and takes its name from the Witwatersrand, a geological feature in Johannesburg where many of the gold deposits were originally found.

The ZAR is currently weaker than most major currencies, largely because of political and economic uncertainty in South Africa. The country’s high levels of poverty, crime, and unemployment also pressure the currency. However, some experts believe the rand could strengthen in the future due to South Africa’s improving economic prospects. Find out how much you can get for your money when sending to South Africa with our handy currency calculator.

The Eswatini lilangeni

The currency of the landlocked Kingdom of eSwatini is the lilangeni, which is subdivided into 100 cents. It was introduced in 1974 on a par with the South African rand as part of the Common Monetary Area.

The king of the small, landlocked country that borders South Africa and Mozambique surprised everyone in April 2018 when he changed the name of the nation to eSwatini from Swaziland. The change took effect immediately, and the old and new names circulate side by side.

The World Bank’s current five-year strategy for the country focuses on two high-level, long-term outcomes: increased private sector employment and enhanced human capital development. The bank also supports efforts to improve budget management and governance.

The Mozambican metical

The metical (/metI,kal/; plural meticais) is the national currency of Mozambique. It was introduced in 1980 to replace the Portuguese escudo at par and is divided into 100 centavos. The name ‘metical’ comes from the Arabic mithqal, which is a unit of weight and an alternative name for the gold dinar coin that was used across much of Africa until the 19th century.

If you’re thinking about sending money to Mozambique, you should look for an option that charges low or no fees. Many international banks impose hidden exchange rates and additional charges, which can make a big dent in the total amount of your transfer. The best alternatives to bank transfers include prepaid travel cards from top online travel money providers, such as Wise Account and Revolut.

Go Home

Hedging Currency Risk: Methods for Limiting Losses

Currency Hedging Example

Hedging currency risk is one of the most popular methods for limiting losses. It is a way to minimize the effect of currency fluctuations on your company’s profits and investments.

Firms develop hedging strategies to account for their net foreign exchange exposure carried on their balance sheets or as a result of trade. Some firms may achieve partial natural hedges through a correlation between costs and revenues in different currencies.


In some cases, a firm might decide to hedge against currency fluctuations using conventional foreign exchange options contracts. These are asymmetric derivatives that allow the company to take on risk for its own benefit, but do not reduce overall exposure. Unlike forward contracts, which require an upfront cash payment, conventional option contracts give the buyer only a right to buy or sell a specific foreign currency pair at a future date.

However, some companies use this strategy for the wrong reasons. For example, if Ford is owed Japanese yen from Nissan in payment for its exports and uses yen options to hedge this position, it creates a synthetic long call position. In addition to exposing the company to potential losses, this strategy violates generally accepted accounting practices, which requires that all derivatives be marked-to-market on an ongoing basis.

Futures contracts

In the financial market, a futures contract is a standardized legal agreement between two distinguishable parties to deliver a commodity or financial instrument on a specified date. It is a huge part of the market, with contracts based on commodities, currencies, and interest rates. Futures contracts can be used to hedge against currency fluctuations.

Unlike forward contracts, which require a cash payment upon expiration, a futures contract gives the buyer the right, but not the obligation to buy or sell a currency on a future date at a predetermined exchange rate. These contracts can be traded in a variety of durations, from three business days to five years. They can be used to hedge against currency fluctuations and achieve better lending rates. They are also useful for businesses that conduct mergers and acquisitions in foreign countries.

Forward contracts

Forward contracts allow you to lock in an exchange rate for a future date. This can protect you from the effect of currency fluctuations on your business. It also allows you to plan your cash flow more accurately.

However, it is important to note that if market rates move against you, then you will have to pay the difference. Forward contracts are private transactions between two parties and there is a margin requirement (usually ranging from three to 10 per cent) depending on the length of the contract.

Hedging against currency fluctuations can be a valuable tool for small and medium-sized businesses that buy or sell in multiple currencies. There are many ways to hedge against currency risk, including forward contracts and currency options.


Whether you are expanding your business into foreign markets or buying new equipment, currency fluctuations can have a big impact on your company’s bottom line. There are a number of ways to hedge against these risks. One way is to use a swap.

Swaps are a type of financial instrument that allows you to exchange two currencies at an agreed-upon price and date. They can be used to hedge against inflation or to take advantage of interest rate differentials. They can also be used to hedge against foreign exchange risk or to lock in a future exchange rate.

A currency swap involves a “notional principal” that is exchanged at the beginning and end of the contract. This principal is not actually repaid and does not appear on a company’s balance sheet.


If you are an investor, hedging your exposure to currency fluctuations is a good idea. This can be done in several ways, including using options or futures contracts. In addition, you can use loans to help with your currency risks. These are called transaction hedges and can reduce your risk of loss in a foreign currency.

A company that sells its products internationally can mitigate currency risk by quoting prices in dollars and requiring payment in dollars. However, this can limit the company’s export opportunities. It also can increase its debt-to-GDP ratio and make it more vulnerable to interest rate changes.

A currency-risk mitigation strategy should include hedging against economic exposure, which is a long-term strategic risk that can indirectly affect your company’s market value and cash flows. Hedging against this type of risk can be more challenging to manage than hedging against transaction or financing risks.

Go Home

Experience the electrifying NBA action with `nba중계`.

Engulfed in the heart-racing crescendo of cheers amidst the electrifying atmosphere of an NBA game? Well, welcome to the engrossing world of `nba중계`. Let’s dive in!

Exhilarating, high-stakes, and packed to the brim with heart-stopping action – that’s how we describe the joyful pandemonium of an NBA game. Short for National Basketball Association, NBA comprises of 30 fiercely competitive teams, each on a relentless pursuit of glory. No wonder why the world can’t get enough of it! And the solution? Broadcasting NBA games, known in Korea as `nba중계`.

Surfing through the wave of your favorite team slamming dunk after dunk, making that impromptu three-pointer or that buzzer-beater, invokes an uncontainable thrill! With countless nail-biting matches scheduled throughout the season, you certainly don’t want to miss out. But unfortunately, life happens. Finding the time to sit glued to your TV to watch all games, is simply a wishful luxury.

In swoops `nba중계`, your trusty sidekick! Using broadcasting platforms, it makes sure that you keep up with your favorite players, stay updated with the latest games, and immerse yourself in the exciting NBA action, no matter where you are.

Thanks to nba중계, you can now experience the raw and relentless dynamics of an NBA game, augmented by state-of-the-art broadcasting technologies. Offering clear and comprehensive coverage with riveting commentary, it makes you feel part of the game, even if you are lounging in your living room or stuck in traffic!

So, are you ready to immerse yourself into the whirlwind of athletic prowess and strategic play that is the NBA? With `nba중계`, you can! It offers you the invaluable freedom of catching up on games when it suits you, ensuring that the spirit of the NBA is never too far away.


What is `nba중계`?
`nba중계` is the Korean term for broadcasting NBA games, allowing fans to stay connected with the action, irrespective of where they are.

How can I watch `nba중계`?
You can watch `nba중계` through numerous broadcasting platforms that offers comprehensive coverage of the NBA matches.

Does `nba중계` offer live coverage?
Yes, `nba중계` offers live coverage, bringing real-time NBA action right at your fingertips.

Are all NBA games broadcasted in `nba중계`?
The majority of the NBA games are broadcasted in `nba중계`, however the availability may depend on the specific broadcasting platform.

Is there any online platform for `nba중계`?
Yes, there are numerous online platforms offering `nba중계`, one of which is .

Currency Codes and Standards

ISO 4217, Alpha, Exponent, and Exponent Codes

When importing data from outside of the system, currency codes must be used. You can find them in the /config/currency/conversionrates object.

These three-letter alphabetic codes start with the first two letters of the ISO 3166-1 alpha-2 country code and end with the initial letter of the currency name. This is to avoid ambiguity with names such as dollar or franc.

ISO 4217 Code

The ISO 4217 Code is a standard way to identify currencies. The codes are used internationally, in financial transactions and for reporting. The standardized codes help to prevent misunderstandings and ensure accuracy in communications. They also make it easier for automated systems to process currency information.

The system is updated over time as new currencies are introduced and older ones expire. This may be the result of a new country becoming part of a larger organization (such as the European Union) or due to a change in a currency’s denomination (such as when a currency is revalued). The ISO 4217 maintenance agency is responsible for maintaining the list of currencies and their codes.

The table below shows a selection of the codes that have been assigned to the currencies of various countries. It does not include the euro, which is represented by EUR because it uses a code reserved for lists that relate to the European Union.

ISO 4217 Alpha Code

The ISO 4217 Alpha Code identifies currencies worldwide. These codes are used in banking and business to avoid ambiguity in communication. The Alpha Code usually consists of a two-letter country code from the ISO 3166-1 alpha-2 standard, followed by the first letter of the currency name. It is often written in lower-case, such as GBX for penny sterling or EUX for the euro cent.

These codes are widely accepted by businesses and individuals for use in international transactions. They also facilitate communication between different financial systems and reduce errors during translation.

Many financial software programs and services, including trading platforms and accounting software, rely on these standards to identify currencies. This makes it easier for them to process and report on foreign exchange transactions. The ISO 4217 list of codes is updated periodically, as new currencies are introduced and old ones are discontinued. Occasionally, the Alpha Codes for certain currencies may also change as a result of new government or treaty agreements, or the revaluation of a currency due to inflation.

ISO 4217 Numeric Code

The ISO 4217 is a universal system of currency codes that allows for seamless communication and accurate identification of currencies worldwide. The standard provides a list of currencies, their code and name, as well as the type of currency (minor unit or major unit).

As payments and fintech continue to evolve, it is critical for software product managers to understand how to handle these changes in a way that is consistent with the standard. This is particularly important when it comes to ISO 4217, which has evolved over time to include new currencies and incorporate changes to existing codes.

These currency codes are used in financial calculations and database entries, as well as on airline tickets and global newspapers. They allow for more precise financial processes and reduce error in cross-border transactions. In addition, numeric codes, such as 840 for the United States Dollar and 978 for the Euro, are handy for automated systems. The first letter of the alphabetic code is based on the ISO 3166 country codes, while the third is a mnemonic reference to the currency, such as USD for the US dollar and CHF for the Swiss franc.

ISO 4217 Exponent

The ISO 4217 Exponent Code expresses the decimal relationship between a currency and its minor unit. For example, the USD ISO code has an exponent of 2, because one US Dollar is equal to 100 of its minor unit, the cent. The currency exponent assumes a base of 10.

In many countries, the ISO codes for the more common currencies are so well-known, that exchange rates published in newspapers or posted in banks use only these to delineate different currencies, instead of using translated currency names or ambiguous currency symbols. Similarly, the ISO codes are used on airline tickets and international train tickets to remove any ambiguity about the price.

Some currencies have multiple subdivisions, for instance, the British pound was divided into 20 shillings, and each shilling into 12 pence before decimalization. These are represented by different ISO codes, and you can specify the correct code by using the iso_currency_code_list attribute in the API call.

Return to the home screen