Course Description:

The goal of this course is to provide students with a deep understanding of financial management issues
in a global setting. It also aims to help students develop analytical tools that incorporate key international
considerations into fundamental financial decisions.
Course Objectives:

1. To enable students to identify, explain international financial market.

2. Able to understand the foreign exchange market, the balance of payments, past and present
international monetary arrangements.
3. Able to understand international investment and capital flows, import and export financing, country
risk analysis.
4. Able to understand the techniques of assessment, comparing risk rating among countries, incorporating
country risk in capital budgeting.

Lecture Schedules
Chapter No. of
Chapter Chapter Details
Name Classes
International
Managing the MNCs, Why Firms Pursue International Business, How
Financial
Chapter 01 Firms Engage in International Business & Valuation Model for an 1
Management: MNC.
An Overview.
Balance of Payments, Growth in International Trade, Factors Affecting
International
Chapter 02 International Trade Flows, International Capital Flows & Agencies 2
Flow of Funds
That Facilitate International Flows.
Foreign Exchange Market, International Money Market, International
International Credit Market, International Bond Market, International Stock Markets,
Chapter 03 Financial Hoe Financial Markets Serve MNCs. 2
Markets
Quiz/Class test-1
Measuring Exchange Rate Movements, Exchange Rate Equilibrium,
Exchange Rate
Chapter 04 Factors That Influence Exchange Rates, Movements in Cross Exchange 1
Determination
Rates, Capitalizing on Expected Exchange Rate Movements.

Government . Exchange Rate Systems, A Single European Currency, Government

Intervention, Intervention as a Policy Tool.
Chapter 06 Influence On 2
Exchange Rates Quiz/Class test-2
Mid-term Exam
International
Chapter Arbitrage & International Arbitrage, Interest Rate Parity, Variation in Forward
Premiums. 1.5
07 Interest Rate
Parity
Relationships
among Inflation, Purchasing Power Parity (PPP), International Fisher Effect (IFE), Tests
Chapter
Interest Rates, of the International Fisher Effect, Comparison of the IRP, PPP & IFE. 1.5
08
and Exchange
Rates Quiz/Class test-3
Why Firms Forecast Exchange Rates, Forecasting Techniques,
Chapter Forecasting
Forecasting Errors, Using Interval Forecasts. 1.5
09 Exchange Rates Presentation
Direct Foreign Motives for Direct Foreign Investment, Benefits of International
Chapter 13 1.5
Investment Diversification, Host Government Views of DFI.
Country Risk Characteristics, Measuring Country Risk, Incorporating
Country Risk Risk in Capital Budgeting, Preventing Host Government Takeovers.
Chapter 16 Assignment 2
Analysis
Final Examination
Course Materials and Readings:

Text Book:
1. International Financial Management- Jeff Madura, 12th edition

Referred Articles:

1. Zayed, N. M. (2015). The Determinants and Stability of Nominal Money Demand in

Bangladesh: 1972-2014. Stamford Journal of Economics (SJE) [print], 2(1), pp. 18-
33. [Available from: Department of Economics, Stamford University Bangladesh,
Dhaka, Bangladesh].

2. Zayed, N. M. (2015). An Analysis of Feldstein-Horioka Puzzle regarding Economic

Openness of Bangladesh, Daffodil International University Journal of Business
and Economics (DIUJBE) [on line], 9(2), pp. 94-105. [Available from:
http://dspace.daffodilvarsity.edu.bd:8080/bitstream/handle/20.500.11948/1501/
Paper9.pdf?sequence=1&isAllowed=y].

3. Zayed, N. M. & Zahan, N. A. (2017). An Analysis of Purchasing Power Parity (PPP)

Using Ricardian Model regarding Real Exchange Rate, Inflation and Import of
Bangladesh with reference to 1972-2016. Australian Academy of Accounting and
Finance Review (AAAFR) [on line], 3(3), pp. 111-118. [Available from:
http://www.aaafr.com.au/index.php/AAAFR/article/view/47].

4. Zayed, N. M., Fatema, N. C., & Hasan, K. B. M. R. (2018). Testing Balassa-

Samuelson Model to Examine Purchasing Power Parity (PPP) of Bangladesh with
reference to 1972-2016. Academy of Accounting and Financial Studies Journal
(AAFSJ) [on line], 22(1), pp. 1-10. [Available from:
https://www.abacademies.org/articles/testing-balassa-samuelson-model-to-examine-
purchasing-power-parity-ppp-1528-2635-22-1-139.pdf]. – ABDC Ranked, Scopus &
SCIMAGO Indexed.

5. Zayed, N. M., Chowdhury, F. N., Kamruzzaman, M. & Islam, S. (2019). Factors

Influencing Purchasing Power Parity (PPP) in Bangladesh: 1986-2017. Academy of
Strategic Management Journal (ASMJ) [on line], 18(2), pp. 1-8.[Available from:
https://www.abacademies.org/articles/Factors-influencing-purchasing-power-parity-
ppp-in-bangladesh-economy-1939-6104-18-2-355.pdf]. – Scopus & SCIMAGO
Indexed.

6. Zayed, N. M., Mustafa, J., Hasan, K. B. M. R., Sahajalal, M. & Islam, S. (2019).
Strategic Determinants and Stability of Real Exchange Rate in Bangladesh: 1976-
2017. Academy of Strategic Management Journal (ASMJ) [on line], 18(3), pp. 1-7.
[Available from: https://www.abacademies.org/articles/Strategic-determinant-and-
stability-of-real-exchange-rate-in-bangladesh-1976-2017-1939-6104-18-3-369.pdf ]. –
Scopus & SCIMAGO Indexed.

7. Hosaain, M. S., Kamal, M. S., Halim, M. R. & Zayed, N. M. (2019). Inward Foreign
Direct Investment and Welfare Nexus: The Impact of Foreign Direct Investment on
Welfare in Developing Countries. International Journal of Economics and Financial
Issues (IJEFI) [on line], 9(4), pp. 228-240. [Available from:
https://www.econjournals.com/index.php/ijefi/article/view/8465/pdf].– ABDC Ranked.

8. Zayed, N. M., Kamruzzaman, M., Chowdhury, S., Tasneem, S. & Islam, M. S. (2019).
A Strategic Analysis of Patterns of Growth in Advanced Countries during 1870-2006.
Academy of Strategic Management Journal (ASMJ) [on line], 18(4), pp. 1-6.
[Available from: https://www.abacademies.org/articles/A-Strategic-Analysis-of-
 Patterns-of-Growth-in-Advanced-Countries-during-1870-2006-%20-1939-6104-18-4-
411.pdf] – Scopus & SCIMAGO Indexed.

9. Zayed, N. M., Kamruzzaman, M., Mumu, F. E., Hasan, K. B. M. R. & Islam, S. (2019).
Strategic Evaluation of Macroeconomic Performance of USA: 1929-2008. Academy of
Strategic Management Journal (ASMJ) [on line], 18(5), pp. 1-5. [Available from:
https://www.abacademies.org/articles/Strategic-evaluation-of-macroeconomic-
performance-of-usa-1929-2008-1939-6104-18-4-423.pdf] – Scopus & SCIMAGO
Indexed.