Question

Which one is the name given to the foreign currency account maintained by a bank abroad

A Nostro Account Correct Answer Incorrect Answer
B Vostro Account Correct Answer Incorrect Answer
C Loro Account Correct Answer Incorrect Answer
D Foreign Account Correct Answer Incorrect Answer
E None of the Above Correct Answer Incorrect Answer

Solution

A Nostro Account is an account denominated in a foreign currency established through local bank at a bank in the respective country of the currency desired. The terms "nostro" and "vostro" are derived from Latin terms meaning "ours" and "yours" respectively.

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