MNCs and financial institutions with access to Eurocurrency markets usually can obtain lower cost funds and store funds at higher interest rates than in domestic credit markets.

Question

Quizplus · Accepted Answer

MNCs and financial institutions often have access to a wider range of funding sources in Eurocurrency markets, which can offer lower borrowing costs and higher interest rates on deposits compared to domestic credit markets. This is due to the larger pool of funds available in the Eurocurrency market and the competitive pricing among lenders and borrowers.

MNCs and Financial Institutions with Access to Eurocurrency Markets Usually