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Question 7 2 pts The Kingdom of Buyan has adopted a currency board in which the exchange rate is maintained at 1 Buyan gelt for

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Question 7 2 pts The Kingdom of Buyan has adopted a currency board in which the exchange rate is maintained at 1 Buyan gelt for 1 US dollar. The current USD 90-day LIBOR rate is 3.75%, while US dollar interest rates paid by a bank in Buyan are 4.64% for 90-day deposits. What is the implied probability that the bank in Buyan will default (to the nearest 1%)? 1% 2% 3% None of the above

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