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International settlement

International settlement also known as "international settlement"。Claims and debts arising from economic, political and cultural exchanges between countries are settled through international currency collection and payment。
Payment of money arising from international trade and its ancillary expenses is called trade settlement;Currency payment caused by transactions other than trade, such as remittances from overseas Chinese, labor supply, overseas travel, profit transfer, fund transfer, expenses of overseas agencies, etc., is referred to as non-trade settlement。
Trade settlement is the main content of international settlement。
Where payments are received and paid internationally directly through the delivery of currency and metal for settlement, the term "cash settlement" is used;Where a debt is settled by means of a bill transfer or a transfer, it is referred to as non-cash settlement or transfer settlement。
In the pre-capitalist period, international settlement was mainly conducted through cash settlement. International settlement is divided into trade settlement and non-trade settlement。Classification basis: the reason for the creditor's right and debt relationship。 Trade settlement mainly includes bills-financial documents, remittance methods, collection, letters of credit, guarantees, confirmation agents, Forfaiting and other businesses。
Non-trade settlement mainly includes non-trade remittance, non-trade letter of credit, traveler's checks, purchase and collection of non-trade instruments, credit cards and foreign currency exchange。
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