foreign exchange

noun

1
: a process of settling accounts or debts between persons residing in different countries
2
: foreign currency or current short-term credit instruments payable in such currency

Examples of foreign exchange in a Sentence

Our country has to export more in order to earn more foreign exchange.
Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Officials also pledged to overhaul the country’s foreign exchange subsidies system to bring direct support for consumers, shifting away from subsidizing importers, which have long been criticized as vulnerable to corruption. Anniek Bao, CNBC, 6 Jan. 2026 Oil exports consistently provide the bulk of Nigeria’s revenue, accounting for around 80% to over 90% of total government revenue and foreign exchange earnings. Jennifer Morgan, The Conversation, 6 Jan. 2026 Moreover, China has transformed its massive foreign exchange hoard into an active instrument of financial statecraft through its sovereign leveraged funds. Zongyuan Zoe Liu, Foreign Affairs, 16 Dec. 2025 The bank grew from the aftermath of the Global Financial Crisis, when Chinese officials considered how best to use the country’s growing foreign exchange reserves. Nicholas Gordon, Fortune, 14 Dec. 2025 See All Example Sentences for foreign exchange

Word History

First Known Use

1623, in the meaning defined at sense 1

Time Traveler
The first known use of foreign exchange was in 1623

Browse Nearby Words

Cite this Entry

“Foreign exchange.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/foreign%20exchange. Accessed 14 Jan. 2026.

More from Merriam-Webster on foreign exchange

Last Updated: - Updated example sentences
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!