Foreign bonds have been an important instrument in the international capital market for centuries. in fact, a large percentage of u.s. railroads built in the nineteenth century were financed by sales of foreign bonds in a) japan. b) britain. c) canada. d) germany.

Option D.

Explanation:

Britain, is the right answer.

A bond which is issued generally by a foreign entity in a domestic market in the denomination of the currency of that nation in order to raise capital is known as the Foreign Bonds. Foreign bonds have played a significant role in the international capital market. The importance of foreign bonds can be illustrated by the very fact that a large percentage of the United States railroads constructed in the 19th century was funded by sales of foreign bonds in Britain.

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