This is a question relating to international economics. In order to depreciate the currency, the country would have to use an expansionary monetary policy, as this would increase the supply of their own currency and so the price of it would decrease. As for fiscal policy,
By depreciating their currency, there will be several effects on the economy. Some of these effects include:
- Domestic goods will become cheaper abroad, so exports increase (This is because the goods that are produced will be cheaper in terms of foreign currency because the currency is weaker and so foreigners find their goods cheaper and will buy more of them)
- Because of the increase in exports and decrease in imports, the country will likely experience and increase in aggregate demand (This is because aggregate demand can be expressed as AD = C + G + I + (X-M), so when X (exports) increase, and M (imports) decrease, the overall aggregate demand of the economy will increase)