Question

What is the benchmark for assessing a country's financial ability to honor transactions?

a.

Sovereign rating of credit agencies

b.

Exchange rate fluctuation

c.

Tax system for reinsurance transactions

d.

Regulatory requirements

Answer: (a).Sovereign rating of credit agencies Explanation:The benchmark for assessing a country's ability to honor financial transactions is the "sovereign rating" given by credit agencies.

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Q. What is the benchmark for assessing a country's financial ability to honor transactions?

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