Operating across borders means juggling exchange rates, bank accounts and statutory reporting in more than one currency. Microsoft Dynamics 365 Business Central bakes these capabilities into its core finance module so that SMBs can sell, buy, bank and report globally without bolt-on tools. Nav24 emphasises that multi-currency support, together with features like consolidated accounting and a common reporting currency, is one of the reasons the ERP scales so well for international operations.
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Core multi-currency setup in Dynamics 365 Business Central
Before users can process transactions in different currencies, Dynamics 365 Business Central (D365 BC) requires a one-time configuration that defines how currencies behave in the system. This setup ensures accurate posting, conversion, and reporting across all relevant modules — from sales and purchasing to banking and the general ledger. Here are the key steps involved:
- Define currencies – add every foreign currency you need on the Currencies page, set the ISO code and specify rounding precision.
- Assign exchange-rate sources – link each currency to live rate services or enter rates manually. Polish users, for example, can pull rates directly from the National Bank of Poland.
- Choose a local (LCY) and optional additional reporting currency (ACY) – when an ACY is activated, the system stores every G/L posting in both LCY and ACY, letting you produce statutory or management reports in a second currency out of the box.
- Map gain & loss accounts – pick G/L accounts for realised and unrealised gains/losses so postings remain compliant and auditable.
Day-to-day foreign-currency transactions
Once the foundation is in place, users can:
- Raise sales & purchase documents in the customer’s/vendor’s currency while viewing side-by-side LCY totals.
- Set currency-specific price lists so item prices, discounts and promotions follow the right currency code automatically.
- Post receipts & payments against invoices even if the settlement currency differs, with the system calculating realised gains/losses during application.
- Analyse ledgers by filtering on currency fields to see open items or ageing in original currency or LCY.
Automating exchange-rate maintenance
Exchange rates rarely stand still, so Microsoft Dynamics 365 Business Central offers two key tools to help finance teams manage currency fluctuations efficiently:
- Currency Exchange Rate Services: this functionality allows you to connect Business Central with external rate providers. By setting up automatic updates, the system ensures your foreign currency transactions always use the latest exchange rates — which is especially useful for businesses operating in volatile markets.
- Adjust Exchange Rates batch job: this tool is used typically at the end of the month or accounting period. It recalculates local and additional currency values for open customer, vendor, bank, and G/L entries. The system automatically posts any resulting exchange rate gains or losses, helping you stay compliant and accurate without manual intervention.
Both tools can be scheduled to run regularly, and their settings can be adjusted based on your accounting standards or local legal requirements. This automation significantly reduces the risk of human error and ensures your financial reports remain consistent.
Advanced features: reporting currency & consolidation
International groups often need more than simple FX posting:
- Common reporting currency – set an ACY (for example EUR) so every subsidiary can produce group-ready trial balances without manual conversion.
- Consolidation across companies & currencies – pull multiple subsidiaries (each with their own LCY) into a parent company, with Business Central translating balances automatically using closing or average rates.
- Intercompany & master-data sync – transactions flow between companies in their respective currencies while remaining balanced at group level.
Practical tips from Nav24 consultants
Nav24’s Business Central tips series shares hands-on advice that goes beyond the Microsoft manuals. A recent post shows how you can assign a default bank account per currency so sales invoices in, say, USD always display the matching USD IBAN—reducing costly bank FX conversions and reconciliation headaches.
Other Nav24 recommendations include:
- Enabling currency-specific approval workflows to control high-value foreign invoices.
- Using Power BI reports connected to Business Central to analyse sales or cash flow simultaneously in LCY and ACY.
Conclusion: global growth without currency headaches
Microsoft Dynamics 365 Business Central approaches multi-currency holistically—covering setup, transaction processing, compliance and reporting in one cloud ERP. Built-in tools such as the additional reporting currency, automated rate feeds and the Adjust Exchange Rates job minimise manual work, while partner know-how from firms like Nav24 turns good practice into best practice. The result is smoother international expansion, faster period-end close and financial data you can trust—whatever currency your customers pay in.
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