What Is a Currency Exchange?
A currency exchange is a licensed business that allows customers to exchange one currency for another.
Currency exchange of physical money (coins and paper bills) is usually done over the counter at a teller station, which can be found in various places such as airports, banks, hotels, and resorts.
How a Currency Exchange Works
Currency exchange businesses, allow you to exchange one country’s currency for another by executing buy and sell transactions.
For example, if you have U.S. dollars and you want to exchange them for Pakistani Rupees, you would bring your U.S. dollars to the currency exchange company like HBL Currency Exchange (Pvt.) Ltd and buy Pakistani Rupees with them.
The amount you would be able to purchase would be dependent on the international spot rate, which is basically a daily changing value set by a network of banks that trade currencies.
