Concerning international lending risk of commercial banks,____ is closely related to political developments in a borrowing country,especially the government's views concerning international investments and loans.

Question

Quizplus · Accepted Answer

Country risk refers to the risk of default or loss arising from investing or lending money in a particular country based on its government policies, economic conditions, and social factors. Political developments in the borrowing country, including the government's views on international investments and loans, can have a significant impact on the country's ability to repay its loans and the bank's ability to recover its investment. Therefore, country risk is closely related to political developments in the borrowing country.

Concerning International Lending Risk of Commercial Banks,____ Is Closely Related