1.   Alongside these Markets, using in some cases quite literally parallel instruments, are Markets for lending and borrowing other currencies.

2.   The government borrows foreign currency, thereby directly financing government imports.

3.   Analysts here say Japanese banks are not yet suffering any credit crunch, since they are still able to borrow foreign currencies from the market.

4.   Corporate borrowing has risen because a slowing economy is reducing cash flow and falling credit ratings makes it harder to borrow foreign currency.

5.   If, for example, the Italian government chose to defend the lira, it could borrow foreign currency and use it to buy lire on the open market.

6.   Ordinarily, the city might borrow Western currency elsewhere.

7.   The bankers who began accepting the deposits also recognized they might lend the money at higher rates to customers seeking to borrow foreign currencies from an offshore source.

8.   The country can either borrow the currency it needs directly, or borrow in a different currency and swap into the required currency if that works out cheaper.

9.   The governments also found it cheaper to borrow non-dollar currencies on world capital markets.

10.   The deals allow central banks to borrow foreign currency in the short term, repaying it with their domestic currency at a later date.