With reference to the Sovereign Credit Rating, consider the following statements:
- A sovereign credit rating is an independent assessment of the creditworthiness of a country or sovereign entity.
- It can give investors insights into the level of risk associated with investing in the debt of a particular country, including any political risk.
- Another common motivation for countries to obtain a sovereign credit rating is to attract foreign direct investment (FDI).
Choose the correct answer from the options given below:
1 and 2
2 and 3
1,2 and 3
None of the above