Answered

Westonci.ca makes finding answers easy, with a community of experts ready to provide you with the information you seek. Join our platform to connect with experts ready to provide precise answers to your questions in various areas. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform.

A loan in which a parent deposits money with a host-country bank, which then lends the money to a subsidiary located in the host country is known as a(n) ________.

Sagot :

Tutorconsortium330

A loan in which a parent deposits money with a host-country bank, which then lends the money to a subsidiary located in the host country is known as a back-to-back loan.

What is a back-to-back loan?

A back-to-back loan is a deal in which two parent corporations from separate nations borrow equal sums of money in their home currencies and lend it to the local subsidiary of the other.

While businesses could trade money on the currency markets, back-to-back loans can be more practical and provide the necessary currency. However, back-to-back loans have mainly been replaced by currency swaps and other comparable instruments. Nevertheless, these tools support global trade.

Learn more about loans here:

https://brainly.com/question/26390951

#SPJ4

We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Westonci.ca is committed to providing accurate answers. Come back soon for more trustworthy information.