NO.PZ2023052301000066
问题如下：
Agora is an emerging market economy with restricted capital convertibility (domestic to foreign exchange is not freely convertible). It is significantly dependent on income from the tourism sector and repatriation of income by its citizens living in foreign countries. It also has a high percentage of external debt to GDP. Which of the following is the most important factor that may result in an improvement in its sovereign creditworthiness?
选项：
A. Diversification of its foreign currency inflows
Reducing foreign currency reserves as a percentage of GDP
Devaluation of its exchange rate versus major reserve currencies
解释：
A is correct.
Since Agora has high external debt to GDP and is very dependent on foreign currency inflows, it should seek to diversify its sources of foreign currency to avoid financial distress in case of disruption in tourism revenue or immigrant repatriation. B is incorrect, as maintaining or increasing foreign currency reserves is important for debt service rather than reducing FX reserves. C is incorrect. While the devaluation of Agora’s exchange rate versus foreign reserve currencies may make it a more affordable tourist destination, it may also reduce the rationale for income repatriation, leading to lower foreign inflows and a reduced ability to service external debt.
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