Lead

Foreign exchange risk management.

To lead, in this context, means to prepay a debt.

A company with a subsidiary in a country with soft currency may encourage the subsidiary to prepay money due to countries with harder currencies, to avoid the adverse impact on cash flow of devaluation by the country with soft currency.

See also

• Debt
• Devaluation
• Foreign exchange risk
• Hard currency
• Lagging
• Soft currency