Multi-Currency and CBRT Exchange Rate Integration

What does this module do?

For businesses operating within the dynamics of the global economy, foreign exchange rate management is not merely an accounting process but holds strategic importance. Parsek ERP's Multi-Currency & CBRT FX module is designed to simplify, automate, and manage this complex process with full compliance for all companies engaged in international trade, transacting with different currencies, or managing foreign exchange positions. This module minimizes the impact of exchange rate fluctuations on your business's financials while maximizing operational efficiency.

Whether you are an import-export company, a firm undertaking international construction projects, or an entity dealing with foreign exchange transactions; Parsek enables you to seamlessly manage your financial processes with all the currencies you need, including primary currencies such as Turkish Lira (TRY), US Dollar (USD), Euro (EUR), British Pound (GBP), and Azerbaijani Manat (AZN). Automatic exchange rate fetching from the CBRT eliminates the risk of manual errors, ensuring your financial reports are always up-to-date and accurate.

Introduced in Parsek's latest version, this module offers multi-currency support across all SaaS subscription plans, helping businesses of all sizes stand out in global competition. Multi-currency current account balances, powered by PostgreSQL JSONB technology, provide an instant and consolidated financial view through special views like `v_consolidated_balance` and `v_fx_gain_loss`. This allows you to turn exchange rate risks into opportunities while ensuring full transparency and traceability in your financial auditing processes.

Key features

CBRT XML Feed Automatic Rate Fetching

End the hassle of manually tracking and entering exchange rates. Parsek ERP automatically fetches current exchange rates into your system every weekday at 4:00 PM using the XML feed published by the Central Bank of the Republic of Turkey (CBRT). This feature eliminates the risk of human error in rate entries, saves time, and ensures your financial records always comply with official and current CBRT rates. Thus, you don't have to worry about regulatory compliance.

Native TRY/USD/EUR/GBP/AZN Support

We offer full and native support for the most frequently used currencies in your business: Turkish Lira (TRY), US Dollar (USD), Euro (EUR), British Pound (GBP), and Azerbaijani Manat (AZN). All your transactions in these currencies are seamlessly managed at every step, from quotation to invoicing, and from order to payment. Thanks to Parsek's flexible infrastructure, you can easily adapt if you need to add different currencies in the future.

Company-Specific Base Currency Selection

Every company has a base currency for its financial reporting and internal processes. Parsek ERP allows you to select a base currency on a company-specific basis. This ensures that all your consolidated reports and financial analyses are automatically generated using your chosen base currency. This flexibility offers a critical convenience for international firms with different subsidiaries or operational units.

Original Currency + Fixed Exchange Rate Date in Every Document (Audit-Safe)

Financial transparency and auditability are core principles of Parsek. In every document (quote, order, invoice, payment, etc.), the original foreign currency amount is recorded along with the exchange rate information fixed on the transaction date. This "audit-safe" approach prevents any inconsistencies in retrospective financial analyses and audits. This feature, critical for legal and financial compliance, makes Parsek a reliable solution.

Automatic FX Gain/Loss Report

Manually calculating profits or losses arising from exchange rate changes is complex and time-consuming. Parsek ERP automatically calculates and reports foreign exchange gains and losses (FX Gain/Loss) using a special view called `v_fx_gain_loss`. These reports allow you to see the instant status of your foreign exchange position, manage risks, and easily update your accounting records. Instant and accurate information makes it easier to make strategic decisions.

Consolidated Current Balance (Multi-Currency JSONB → TRY)

Seeing current account balances in different currencies on a single screen, in a consolidated manner, is indispensable for your business. Parsek effectively manages multi-currency balances using PostgreSQL's powerful JSONB column structure. Thanks to the `v_consolidated_balance` view, you can instantly view the consolidated balance of all your current accounts in your designated base currency (e.g., TRY). This offers unparalleled convenience in your cash flow management and risk assessment.

Manual Exchange Rate Entry

While automatic rate fetching provides great convenience, manual intervention may be necessary for certain special situations or different interbank rates. Parsek ERP offers a flexible manual exchange rate entry feature. This allows you to easily incorporate rates determined by your special agreements or market conditions into the system, ensuring full compliance with your operational needs. The system also records manually entered rates in an "audit-safe" manner.

Cross-Currency (Via TRY)

Calculating exchange rates between different currency pairs can sometimes be complex. Parsek automatically performs all cross-currency calculations using your base currency (TRY by default). For example, when you want to calculate the USD/EUR cross-rate, the system instantly determines the correct cross-rate by first using the TRY equivalent of USD, then the TRY equivalent of EUR. This provides great convenience and accuracy, especially for firms dealing with rare currency pairs.

Live TRY Equivalent Preview

When conducting a foreign currency transaction, instantly seeing its current TRY equivalent is critical for your pricing and budgeting decisions. Parsek ERP allows you to live preview the TRY equivalent of the entered foreign currency amount, based on the current exchange rate, during document entries (quote, order, invoice, etc.). This feature provides clarity in instant decision-making processes and helps you assess potential exchange rate risks in advance.

USD/EUR/GBP Quote-Order-Invoice Support

You can manage all processes end-to-end through Parsek, from creating quotes, receiving and sending orders, to ultimately invoicing, using USD, EUR, and GBP – the most frequently used currencies in international trade. This integrated support ensures consistency, accuracy, and speed at every stage of your foreign currency commercial transactions. It reduces your accounting department's workload while enhancing professionalism in your customer and supplier relationships.

How it works?

Discover how Parsek ERP's Multi-Currency & CBRT FX module simplifies your business's foreign exchange transactions step-by-step:

1. Initial Setup and Base Currency Definition: Upon your first login or company setup, you define your business's base currency (e.g., TRY). This will be the main reference point for all consolidated reporting. You also activate the CBRT XML feed automatic rate fetching feature.
2. Creating a Foreign Currency Transaction: You can create a quote in USD for a customer, receive an order in EUR from a supplier, or issue a sales invoice in GBP. During document creation, the relevant exchange rate is automatically reflected in the system (either fetched from CBRT or manually entered), and a live TRY equivalent preview provides you with instant information.
3. Automatic Rate Updates: Every weekday at 4:00 PM, Parsek automatically fetches and records the CBRT's current exchange rates into the system. These rates are used by default for your foreign currency transactions that have not yet been invoiced or collected.
4. Manual Rate Adjustments (Optional): For a special transaction or when dealing with a different rate offered by your bank, you can manually enter the exchange rate in the relevant document or system-wide. This rate is recorded as the document's "fixed exchange rate date" and ensures auditability.
5. Payment and Collection Transactions: When you make payments or collections for your foreign currency invoices, the system automatically calculates the exchange rate difference based on the current rate on the payment date. This difference is instantly reflected in your FX Gain/Loss reports.
6. Consolidated Reporting: Thanks to the `v_consolidated_balance` view, you can instantly see all your current account balances in different currencies, consolidated in your base currency. The `v_fx_gain_loss` report provides a detailed breakdown of your profits and losses arising from exchange rates.
7. Audit and Traceability: Since the original foreign currency amount and fixed exchange rate date information are kept in every document, all your past transactions are transparent and auditable.

Which modules is it integrated with?

Parsek ERP's Multi-Currency & CBRT FX module works in close integration with other critical modules to address your business's financial and operational processes with a holistic approach:

• VAT & Withholding Tax: VAT and Withholding Tax calculations for foreign currency sales and purchase transactions are automatically performed using current exchange rates. This integration ensures that foreign currency transactions are processed in full compliance with tax regulations and minimizes potential errors.
• Multi-Item Procurement: In your import or export processes, you may need to work with numerous product items in different currencies. This integration allows you to manage items in various currencies within a single order or invoice, and perform consolidated cost and revenue analysis.
• Current Account: The Current Account module lies at the heart of the Multi-Currency module. All your foreign currency receivables and payables balances are maintained in the Current Account module and instantly converted to your base currency through consolidated balance views. This is vital for risk management and cash flow planning.
• e-Invoice: e-Invoices issued or received in foreign currency work seamlessly with Parsek's e-Invoice module. This ensures that your foreign currency e-Invoices are prepared, sent, and received in compliance with regulations, while relevant exchange rate information is also recorded as part of the invoice.

Quantifiable impacts

Parsek ERP's Multi-Currency & CBRT FX module not only simplifies your business processes but also offers concrete and measurable contributions to your company's financial performance:

• 85% Time Savings: Eliminate the time spent on manual foreign exchange rate tracking and entry, reducing your finance department's weekly operational burden by 85%. Time previously spent on rate updates can now be dedicated to strategic analyses.
• 99% Accuracy Rate: Virtually eliminate the risk of human error in exchange rate entries thanks to automatic CBRT XML integration. This increases the reliability of your financial reports and auditing processes.
• FX Gain/Loss Report in 2 Minutes: Complete foreign exchange difference calculations and reporting, which previously took hours, in just 2 minutes with Parsek. Proactively manage risks with instant and accurate FX Gain/Loss reports.
• 100% Regulatory Compliance: Automatic fetching of CBRT rates and ensuring auditability with a fixed exchange rate date in every document guarantees that your foreign exchange transactions are 100% compliant with regulations.
• 20% Faster Cash Flow Management: By instantly tracking your receivables and payables in different currencies, consolidated in your base currency, through the consolidated current balance view, make your cash flow planning up to 20% faster and more effective.

FAQ

Can the base currency be changed on a company-specific basis?

Yes, in Parsek ERP, you can select a base currency on a company-specific basis. This setting determines which currency will be used for all your consolidated reports and financial analyses.

Which exchange rates are automatically fetched?

Parsek automatically fetches current exchange rates via the XML feed published by the Central Bank of the Republic of Turkey (CBRT). These rates include major currencies like TRY, USD, EUR, GBP, AZN, and all other rates published by the CBRT.

How are historical exchange rates managed?

In every document, the exchange rate information on the transaction date is recorded as the "fixed exchange rate date." This ensures that all your past transactions are stored transparently and auditable, indicating which rate was used.

How often is the automatic FX Gain/Loss report updated?

FX Gain/Loss reports reflect the most current status at any time, as all foreign currency transactions and payment/collection records in the system are updated instantly. The `v_fx_gain_loss` view provides up-to-date data at every query.

Do Parsek's SaaS subscription plans require additional cost for multi-currency support?

No, all of Parsek's SaaS subscription plans natively support the Multi-Currency & CBRT FX module. It does not require any additional cost or a separate subscription; all features are included in your chosen plan.

Get Started Today

Discover Parsek ERP's Multi-Currency & CBRT FX module to gain a competitive advantage in the dynamics of global trade and simplify foreign exchange rate management. Automate your financial processes, reduce error risk, and support your strategic decisions with accurate data.

Create your free trial account today or request a demo to discover how Parsek can add value to your business. For more information, you can contact us.