Query
Within a Local Legal Entity in SGD the Source of XIGNITE Rates feed for DIRECT rate Foreign IRD to USD always not equal to INDIRECT RATES Foreign IDR to Local SGD then SGD to USD? Is there any workaround solution for these rates to be consistent without variance?
Solution
Upon checking, Xignite does not calculate their currency exchange rates as exact inverses of each other as each rate is generated independently, and Xignite creates their rates based off of multiple different sources. Therefore, each rate is generated on its own and NetSuite is only responsible for populating the rates as per what is given from Xignite.
The ability to pull foreign exchange rates that are appropriately the inverse of one another is logged as an Enhancement request #245772 – Currency Exchange Rate Integration = T > To pull foreign exchange rates that are appropriately the inverse of one another.
Lastly, According to SuiteAnswer #43346: Enabling the Currency Exchange Rate Integration Feature:
Rates may be affected by time intervals when they are captured and then uploaded to NetSuite. Real time exchange rates are never exact inverses because market rates for currency are directional. If you always want the exchange rate inverse to be 1÷ the direct rate, you can manually override the rate.
This is in line with the alternate solution provided in the enhancement above which is to manually update the rate if user want it to be the same:
Alternate Solution:
1. Go to Lists>Accounting>Currency Exchange Rates>New.
2. Enter a new Currency Exchange Rate for the day as manually computed.