Currencies (SAP)

Company Code Currency - In SAP, when we define Company/company

code, currency is a basic data which should be maintained. In SAP, we
can maintain one base currency and two parallel currencies, it means
three currencies. In FI documents, we can take four currencies including
the transaction currency.

Group Currency - What is Group Currency in SAP. It’s used for

consolidation purpose in SAP so that all the company
code currencies value under that group can be reported in one

Controlling Area Currency - The system uses this currency for cost
accounting. This currency is set up when you create the controlling area.
... When you create an object in CO, the SAP system defaults
the currency of the company code to which the object is assigned as the
object currency

Hard Currency - What is Hard Currency in SAP. Its country specific and
used for country specific requirements like reporting. In Accounting based
CO-PA data always updated in controlling area, company code and
transaction currency where as in costing based CO-PA, you can update it
in operating area and the company code currency.

Index Based Currency - Countries that use Index-based

currency. SAP experts, As you may well know, an index-based currency is
a country-specific fictitious currency (and fx rate) that is required in some
countries that tend to experience high inflation. This is typically used for
external reporting purposes

Global company currency - Generally used for consolidation in

the SAP system. Assigned at the company level that can be used to
group company codes into a hierarchy. You can specify it as a
parallel currency (additional local currency) for a company code