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Changing exchange rate type in D365 Finance

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Posted on by udaY-ch

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Hi friends

We need to maintain a fixed exchange rate for KSA. For other currency pairs, we use a standard exchange rate provider (Oanda) to update rates automatically everyday. However, to keep a fixed rate for USD to SAR (KSA), we are considering defining a separate exchange rate type specifically for this pair and manually setting the fixed rate. What are the impacts with this approach?

Although I can manually update the currency pair to fixed rate once the standard exchange rate job has finished. I am interested to know, if there are any best practices or alternate solutions to address this requirement more efficiently.

Any advice or recommendation you suggest are most welcome.

Thanks

Uday

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Dynamics 365 Finance

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BillurSamdancioglu 18,262 Most Valuable Professional on at

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Changing exchange rate type in D365 Finance

There can be couple of options may be better to check rather than using an exchange rate type:

1) Change OANDA for not to update KSA and manually update data

2) Create a new currency and use that currency and update the data manually.

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André Arnaud de Cal... 297,333 Super User 2025 Season 2 on at

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Changing exchange rate type in D365 Finance

Cyrille Nembot, it looks like your answer is generated with help of AI. If that is the case, don't forget to mention the source, but overall also verify the generated content as AI can be wrong. In this case, your text suggest that you can use a fixed manual rate by using OANDA. This is incorrect. You can't setup to skip currency pairs for a given exchange rate type. Also, like already stated by others, manually changing exchange rate types for transactions is not possible as it will be taken from parameters. So, please first check and validate your content before making incorrect suggestions.

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Cyrille Nembot 149 on at

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Changing exchange rate type in D365 Finance

In Dynamics 365 Finance, your proposed approach of creating a dedicated,
manually maintained exchange rate type specifically for the USD/SAR
currency pair is a standard and widely accepted best practice for
managing fixed exchange rates. This method effectively isolates the
fixed rate from your automated daily downloads from providers like
Oanda, preventing the system from overwriting your mandated SAR rate
while allowing all other currency pairs to update automatically. The
primary impact of this configuration is that you will need to manually
create and maintain the USD/SAR rate within your custom exchange rate
type for the required date ranges, adding a small but crucial
administrative step to your monthly or periodic closing procedures. To
implement this efficiently, you should ensure that your custom exchange
rate type is assigned a higher priority in the exchange rate priority
list (found under General ledger > Currencies > Configure exchange rate providers)
than your Oanda provider for the specific USD to SAR conversion. This
setup guarantees that when the system retrieves a rate for Saudi Riyal,
it will always use your manually defined fixed rate from the
high-priority type instead of any potentially different rate that might
have been imported automatically, thereby seamlessly meeting your
regulatory requirement without disrupting the automation for all other
currencies.

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Syed Haris Shah 220 on at

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Changing exchange rate type in D365 Finance

Hi Uday,

Using dual exchange rate types (one for OANDA and another fixed for USD–SAR) will quickly become messy in practice.

In D365, the exchange rate type is picked from the Ledger setup by default, and all modules (AP, AR, Bank, Fixed Assets, etc.) inherit this.

If you try to use two rate types (OANDA vs FIXED), you’ll face the challenge of switching rate types per transaction, which is not practical, especially in AP/AR where users just expect the system to calculate automatically.

This can also create reporting inconsistencies, since different rate types would exist for the same currency pair.

A cleaner approach is to:

Continue using a single exchange rate type (OANDA) for all currencies.

Ask your exchange rate provider (OANDA) if they can exclude USD–SAR from the daily update feed.

If they can, you then maintain USD–SAR manually at the pegged rate (3.75) without risk of it being overwritten.

Further, I recommend thinking about @Adis's suggestion: Lets see if someone has a better solution, if not then I would look into a Power Automate solution, where you run a flow just after the import overwriting the exchange rate with the fixed one.

If you find this answer helpful, please consider verifying the answer. 👍

Regards

Syed Haris Shah

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Sohaib Cheema 47,732 User Group Leader on at

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Changing exchange rate type in D365 Finance

In many Middle Eastern countries, it is common to have fixed exchange rates, particularly with the USD. For example, the Saudi Riyal (SAR) maintains a fixed rate against the US dollar.
If you do not wish to update the exchange rate regularly, that is normal, and there is no requirement to do so. In real life, some customers/users choose to update exchange rates manually, while others automate the process via APIs backed by data entities.
There is no issue with leaving the exchange rate unchanged if it remains fixed and valid. Each exchange rate entry includes a From date and a To date, so you can set the validity for an extended period such as several years for currencies like the Saudi Riyal. You can also import same rate for this special rate pair, for every period (while you import other pairs)

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udaY-ch 5,084 on at

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Changing exchange rate type in D365 Finance

Hi @Adis

Yes, the rate is fixed for the legal entity. Not sure, has anyone did changed in the middle.

Thanks

Uday

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Adis 5,422 Super User 2025 Season 2 on at

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Changing exchange rate type in D365 Finance

Hi,

is this currency rate fixed also for the legal entity? If yes, then you can create new type and use that type in the legal entity.

If you need to import all other exchange rates except this one, then I am not sure if that is possible. Usually the import, does it for all rates.

Lets see if someone has a better solution, if not then I would look into a Power Automate solution, where you run a flow just after the import overwriting the exchange rate with the fixed one.

Kind regards, Adis

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