As required by accounting law in some countries, mostly in Eastern Europe, foreign currency cash withdrawals from the cash desk and bank accounts should be converted based on the currency exchange rate as of date when the payment in the foreign currency was made to the cash desk or bank account. This means that the value of a withdrawal in a local currency should correspond to the value of a related receipt in a local currency. This process is very similar to the method used for inventory valuation; the methods valid for application of cash withdrawals are generally the same: FIFO, LIFO, weighted average, though in some countries which are allowed for such recalculation.

There was functionality for such calculation in so called "EAST" regional layer for Eastern European countries for NAV versions 5.0 SP1 FP1 and 2009 (and in some cases later ones) but it was quite simply and didn't covered some scenarios, like handling of overdraft accounts, yearly revaluations or corrections of bank transactions. A lot of Eastern Europe localizations still have such or similar functionality as it's deemed to be legally required by customers.

As maintaining such functionality is quite a huge effort and such functionality could be beneficial for many countries, it would be worth to consider to include in base BC international functionality.
2022 Release Wave 1
Ideas Administrator

Thank you for your valuable feedback. We have decided to deliver this idea and make it available with Business Central 2022 release wave 1.  

Though exact requirement mentioned in above idea are not addressed by the the feature below as Microsoft has no plans to invest in those areas, we now provide extensibility improvements in this area that allows partners to easily modify or completely replace implementation of exchange rates adjustment to fit their needs.   

On top of that, you can preview, post detailed or summarized exchange rate adjustments, review adjustment results in Exchange Rates Adjustment Ledger Entries. It's easy to extend the adjustment feature, or completely replace it with something that works better for you.

Learn more about what's new and planned for Improved and extensible Adjust Exchange Rates batch job in the release plan here: https://docs.microsoft.com/en-us/dynamics365-release-plan/2022wave1/smb/dynamics365-business-central/improved-extensible-adjust-exchange-rates-batch-job

Your help is greatly appreciated,
Business Central Team



Upvoted. Definitely there are many SaaS customers asking for it. It stops them from going SaaS.

Category: Financial Management