• The Eurocurrency market is the money market for a currency outside the country where it is legal tender.
  • The term eurocurrency is a generalization of the term eurodollar and should not be confused with the EU currency, the euro.
  • There is also a Eurobond market for countries, companies and financial institutions that can borrow currency outside of their home market.
  • Eurocurrency markets may offer better rates for both borrowers and lenders, but they also carry higher risks.