Introduction

Welcome to Part 3: International Trade Finance. This OER is designed to provide readers with an opportunity to understand the basic and advanced concepts of trade finance, with special reference to Canadian companies. Trade finance is a niche concept in international finance and deals with special financial tools available to mitigate risks in international trade.

This OER will introduce readers to concepts such as risks in trade finance, the role of the exchange rate in trade decisions, tools available to mitigate and manage fluctuations in the exchange rate, trade finance instruments and the role they play in trade decision-making, and the role international financial organizations play in mitigating and managing trade finance risks. The final chapter focuses on the sustainable financial practices of different organizations and the importance of sustainability in the financial sector.

International Trade and Finance – Part 3: International Trade Finance was developed for use in FIN2170 International Trade Finance in the Business – International Business diploma program at Conestoga College.

Features of this OER

Each chapter in International Trade and Finance is introduced with chapter-level Learning Objectives and a Think About It! box introducing the chapter’s main themes, which may include a short YouTube video, a Test Yourself H5P quiz, or a set of Reflection Questions.

Think About It! boxes throughout the chapters give readers the opportunity to explore certain terms and ideas further, such as with videos or interactive H5Ps.

Let’s Explore and Review boxes introduce external resources to help learners explore the foundations of a key concept or learn more about it.

Did You Know? boxes share interesting stories or supplemental information with readers.

Each chapter ends with a Chapter Summary based on the chapter’s Learning Objectives and gives readers a chance to assess their learning with Check Your Understanding H5P quizzes.

Each part includes a complete Glossary, with pop-up definitions linked to terms used in context.