FX leakage refers to losses that businesses make, often unknowingly, due to a lack of foreign exchange rate management.

How FX leakage happens in practice 

FX leakage can occur when FX conversions are treated as routine and not reviewed over time. It often comes from less favourable exchange rates, transaction fees, or inefficient conversion processes. Across many payments or recurring conversions, these small differences can add up and have a measurable impact on business costs, profit margins and cash flow.