When a country experiences a depreciation of its currency, what does it imply on its economy

When a country experiences currency depreciation, it means that its domestic currency is losing value against a foreign currency.

The main consequence of this is that goods expressed in foreign currency become more expensive, which decreases imports.

The goods produced domestically become cheaper for people abroad, for this reason, currency depreciation can promote exports, and some countries have used currency depreciation to strengthen their countries' export sector.

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