Country Risk Premia Quarter One 2018
CRPs declined again in quarter one 2018, continuing a trend we’ve observed in six out of the last seven quarters. Our update this quarter focuses on two high-risk nations, North Korea and Zimbabwe, which have both benefited from this global trend and which have undergone political shifts themselves that have started to reduce risk levels.
Our interactive map, above, shows just how much country risk has evolved over the past decade. Some countries have become much riskier to operate in, whilst others have seen their risk levels fall. An analysis of country risk trends can help organisations identify these risks and opportunities early on in their planning processes.
For companies that have international operations or are considering opportunities abroad, managing and accounting for country risk will be a key consideration.
Our country risk service can help companies to quantify and manage such risks in order to make better business decisions.
We calculate Country Risk Premiums (CRPs) for 187 sovereign nations using an economic model that we have developed since 1998. Our model uses a range of inputs in generating CRPs, including reliable sources of credit and risk ratings and sovereign bond information.
For more information, please contact a member of the team below.