International finance differs from domestic finance in several ways:

1. Currency exchange: International finance involves dealing with multiple currencies, whereas domestic finance deals with a single currency. This introduces additional complexities in terms of exchange rate fluctuations and managing currency risk.

2. Regulatory environment: International finance involves complying with different regulatory frameworks and laws in multiple countries. This includes understanding and adhering to various tax laws, financial regulations, and reporting requirements in different jurisdictions.

3. Political and economic risks: International finance is exposed to political and economic risks that are specific to each country. These risks include changes in government policies, trade barriers, economic instability, and geopolitical tensions. Domestic finance, on the other hand, is primarily influenced by the policies and economic conditions of a single country.

4. Market size and diversity: International finance operates in a much larger and more diverse market compared to domestic finance. This means that there are more investment opportunities, a wider range of financial instruments, and different market dynamics to consider.

5. Information and cultural differences: International finance requires understanding and analyzing information from different countries, which may have different accounting standards, disclosure requirements, and cultural norms. This can make it more challenging to gather and interpret financial data accurately.

6. Transaction costs and logistics: International finance involves additional transaction costs and logistical challenges, such as currency conversion fees, international wire transfer fees, and the need to navigate different banking systems and payment methods.

Overall, international finance requires a broader understanding of global markets, currencies, regulations, and risks compared to domestic finance, which focuses solely on the financial activities within a single country.