Sm51 group Eshmurodov Ilyos

Defining International Financing

• The two characteristics that define an international financial transaction form four categories:
• Domestic borrower/domestic currency
• Foreign borrower/domestic currency
• Domestic borrower/foreign currency
• Foreign borrower/foreign currency

Structure of International Banking

• Correspondent bank: an unrelated bank based in a foreign country
• Representative bank: basically a sales office for a bank

International Security Markets

• The international debt securities markets have experienced the greatest growth in the past decade
• It includes:
• Bonds
• Equities
• Private placements

The International Bond Market

• The international bond market provides the bulk of financing
• Foreign bonds
• Eurobonds
• Bearer bonds

Private Placements

• One of the largest and unpublicized capital markets
• A private placement is the sale of debts or equity to a large investor