Which one of the following is NOT a component of international bank lending?
A) domestic bank loans in domestic currency to nonresidents
B) domestic bank loans in foreign currency to domestic residents
C) domestic bank loans in domestic currency to a multinational corporation located in the Domestic country
D) domestic bank loans in foreign currency to nonresidents

Question

Quizplus · Accepted Answer

Domestic bank loans in domestic currency to a multinational corporation located in the domestic country is not a component of international bank lending because it does not involve cross-border transactions. The other options involve either lending in foreign currency or to non-residents, which are both common components of international bank lending.

Which One of the Following Is NOT a Component of International