International transactions refer to the exchange of goods, services, or financial assets between parties located in different countries. These transactions can involve businesses, governments, or individuals and often require the use of different currencies, which can lead to currency exchange rates affecting the overall cost. These transactions are essential for global trade and economic growth, as they allow countries to specialize in producing certain goods while importing others. They are governed by various international laws and agreements, such as those established by the World Trade Organization (WTO), to ensure fair practices and reduce trade barriers.