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Question : Which of the following is not a type of exchange rate risk?

Option 1: Credit risk

Option 2: Interest rate risk

Option 3: Economic risk

Option 4: Political risk


Team Careers360 10th Jan, 2024
Answer (1)
Team Careers360 17th Jan, 2024

Correct Answer: Credit risk


Solution : The correct answer is (a) Credit risk

Credit risk is not a type of exchange rate risk. Credit risk refers to the risk of a borrower defaulting on their financial obligations, such as failing to repay a loan or meet interest payments. It is unrelated to exchange rate movements.

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