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The exchange rate tells you how much one country's currency is worth compared to another country's currency.
In Depth
When you travel or buy things from another country, you need to convert your money into their local currency. The exchange rate tells you how much of one currency you can get for another. These rates constantly change based on economic factors, interest rates, and political stability. A strong exchange rate means your currency buys more foreign currency, while a weak exchange rate means it buys less.
Example
If the exchange rate for USD to EUR is 1.10, it means that 1 US dollar can buy 1.10 Euros.