The main objective of this paper therefore is to examine the economics of exchange rate management. To address the main focus of this paper therefore, it is structured into five main parts. Following the introduction is section two which examines the conceptual issues in exchange rate management. In the third section, types of exchange rate regimes are examined while s e c t i o n f o u r c o n t a i n s the significance of exchange rate management. Exchange rate management questions are reviewed in section five. Section six draws relevant lessons and concludes the paper.