It’s a myth; US Dollar loans are not cheap!

Read Comments Comments (5)

• Saint Ghfuo: MEDIOCRITY STINKS! 7 years ago

  US DOLLAR INTEREST RATES ARE ABOUT TO GO UP AND UP...HILLARY IS GOING TO BE THE NEXT THATCHER...

  US DOLLAR INTEREST RATES ARE ABOUT TO GO UP AND UP...HILLARY IS GOING TO BE THE NEXT THATCHER...

  reply
• Jacob Obeng Agyarkoh,First Atlantic B 7 years ago

  Wow. what are expose on debt financing models. i have really gained knowledge of many things we take for granted in financial circles. Kudos Abdulsalam. looking forward to more insightful articles.

  Wow. what are expose on debt financing models. i have really gained knowledge of many things we take for granted in financial circles. Kudos Abdulsalam. looking forward to more insightful articles.

  reply
• Abdulsalam (Author) 7 years ago

  Dear Jacob,
  
  Many thanks for your feedback, hopefully we should get more from time to time.

  Dear Jacob,
  
  Many thanks for your feedback, hopefully we should get more from time to time.

  reply
• micky 7 years ago

  What you seem to have left out is that local firm price their services and products indexed to USD thus as long as there is forex availability within the local market/ecomony the currency mismatch risk is mitigated.

  What you seem to have left out is that local firm price their services and products indexed to USD thus as long as there is forex availability within the local market/ecomony the currency mismatch risk is mitigated.

  reply
• Abdulsalam (Author) 7 years ago

  Dear Micky,
  Good comment on firms ability to pass on exchange costs to its customers. there are 2 issues with this: (1)regardless of where you can price, firms should aim to minimise costs in order to maximise profits. Given ...
  read full comment

  Dear Micky,
  Good comment on firms ability to pass on exchange costs to its customers. there are 2 issues with this: (1)regardless of where you can price, firms should aim to minimise costs in order to maximise profits. Given that ability (which is not always the case by the way), a firm would have made higher profits (or even afford to price competitively) by opting to borrow cheap (2) there hasn't always been forex availability, a fact that can be confirmed by both borrowers and lenders. thanks

  reply