As most markets around the world become increasingly accessibleto foreign companies and investors, some remain stubbornly closed.Of particular concern to corporate treasury teams, currencycontrols in certain locales continue to create barriers tolaunching or growing foreign subsidiaries. A couple of years ago,Microsoft treasury faced this situation in Brazil.

The company's Brazilian sub was growing fast. “It's a marketwith a lot of potential,” says Sunnie Ho, a senior treasury managerin Microsoft's Global Cash Management group. “But Microsoft Brazilhas an increasing number of transactions with organizations basedoutside of Brazil.” These transactions were placing a drag on theproductivity of local finance staff, and the issue was growingalong with the business.