Examining the relationship between exchange rates and their impact on exports

Abstract

The exchange rate refers to the price of a country's currency in relation
to the currency of another country. Similarly, exports refer to the list of
goods and services transferred beyond a country's borders and
expressed in monetary terms. The aim of this research is to analyze the
relationship between the exchange rate and exports and to determine
the effects of exchange rate fluctuations on exports in Afghanistan. To
examine this subject, time-series data on Afghanistan's exchange rate
and exports over ten years (2013-2023) have been used. To identify the
relationship between the mentioned variables, the Pearson correlation
test has been applied. Based on the specified hypotheses, the results
obtained from the extracted data indicate that the exchange rate affects
exports. The null hypothesis, which states that there is no relationship
between the variables, is rejected, while the main hypothesis—
confirming a significant impact of the exchange rate on exports with a
correlation coefficient of 0.871is accepted.