Global Finance

Paper Code: 
FMG 217
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

  • To acquaint students with the role of global institutions and monetary system.

 

Course Outcome (COs):

Course

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

Paper Code

Paper Title

FMG 217

Global Finance

CO73 Acquire knowledge about the world of International Finance along with a thorough understanding of dealings in between exporters and importers.

CO74 Build ability to comprehend all the terminologies and working of Global Financial Market.

CO75 Comprehend the use of different theories of exchange rate mechanism

 CO76 Understand the pivotal role of Exchange control and Balance of payments in Forex.

CO77 Absorb knowledge pertaining to Global banking and understand the channels of international funds and trade governing bodies.

Lecture and Class Discussions (Tool - PowerPoint presentation). Talk on years with surplus BOP in India.

Class Discussion and presentation on popular international investments in India.

Class Discussion on History of Foreign aid to India and WTO report (Tool - PowerPoint presentation)

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

10.00
Unit I: 
Global finance

Meaning, Scope and Importance
Methods of payment- Payment in advance, open account, Documentary collection, letter of credit ,Credit cards, counter-trade Letter of credit-types, parties and procedure

10.00
Unit II: 
International Monetary System

Gold Standard, Bretton Woods System, Euro dollar market- origin and growth, Features,
Foreign Exchange Markets: Functions, Participants, Spot rate, Forward rate, Future , Option and Arbitrage .

10.00
Unit III: 
Determination of Exchange Rates :

PPP theory & Balance of Payment theory, Factors influencing exchange rates.. Fixed and Flexible Exchange Rates. Causes of fluctuations in Exchange rates.

8.00
Unit IV: 
Balance of Payment:

Concept, Components, Equilibrium in BOP, Measures to correct disequilibrium.
Exchange Control- Meaning, Features, Objectives, Methods, Merits & Demerits, Exchange control in India.

7.00
Unit V: 
International Banking:

Meaning, Features, Types of International Banking Offices, Offshore Banking & NBFCs International Financial Institutions: IMF & World Bank-Objectives, Roles, Achievements, Recent developments, Progress and Criticism. WTO- Introduction, Difference between GATT and WTO, Objectives, Functions and India & WTO.

Essential Readings: 

• Avadhani,V.A,” International Finance, Theory and Practice”, Himalaya Publishing Company, New Delhi.
• S.K. Mathur, “ International Trade and Finance”, Shivam Book House, Jaipur.
• Cherunilam Francis “International Economics”, Tata McGraw-Hill Publishing Company Limited, new Delhi
• Cherunilam Francis “International Business”, Tata McGraw-Hill Publishing Company Limited, new Delhi
• Maurice, Levi, “ International Finance”, McGraw Hill, Int. Ed. New York.
Reference Books:

References: 

• Walter, Ingo: Handbook of International Business, John Wiley and Sons; New York.
• Wood, D. and J Byrne: International Business Finance, Macmillan, New York.
• Sodersten B, “International Economics”, Macmillan, London.
• Dominick, “ International Economics”, Macmillan Publication Company, New York.
• Mithari D. M. Introduction to International Economics (Latest)- Himalaya Publishing House, Mumbai
• Seth M.L.,” Money, Banking, international Trade and Public finance”, Lakshmi Narain Agarwal Educational Publisher, Arga.

Academic Year: 
2020-2021
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