describe the difference between a parallel loan


Describe the difference between a parallel loan and a back-to-back loan.

Answer:  A parallel loan contains four parties.  One MNC (multinational company) borrows and re-lends to another’s subsidiary and vice versa.  A back-to-back loan contains just only two parties.  One MNC borrows and re-lends directly to other. 

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Financial Management: describe the difference between a parallel loan
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