# foreign exchange revaluation

- Canonical URL: https://www.gerhardmerk.de/foreign-exchange-revaluation
- Post ID: 605088
- Modified: 2026-09-07T19:47:59+00:00
- Language: en

## Definition

Foreign exchange revaluation isolates valuation changes caused by exchange-rate movements from the transactions recorded in financial flows. It applies when assets or liabilities denominated in a currency other than the euro change in euro terms solely because that currency’s exchange rate has moved. The adjustment removes this non-transactional effect, so flow data reflect economic activity rather than fluctuations in the translated value of existing balance-sheet positions.

## Machine-readable

- Generator: Merk Knowledge 1.1.1