The security risk rating evaluates the likelihood of state or non-state actors engaging in actions that harm the financial, physical and human assets of a company. It assesses the extent to which the state is willing and able to protect those assets and the extent to which state or non-state actors are capable of harming those assets. The impact of security risk on companies can include theft, injury, kidnap, damage to installations, information theft, extortion, fraud, expropriation, and loss of control ever business. The security risk may vary for companies and investment projects because of factors such as industry sector, investor nationality, and geographic location.
Political risk forecast
The political risk rating evaluates the likelihood of state or non-state political actors negatively affecting business operations in a country. It assesses the extent to which the state is willing and able to guarantee contracts and the extent to which non-state actors may threaten the viability of business operations. The impact of political risk on companies can include negative government policy, judicial insecurity, exposure to corruption, reputational damage, expropriation and nationalization, and international sanctions. It assesses the extent to which political, economic and institutional stability may enhance or diminish the likelihood of these risks taking place. The political risk may vary for companies and investment projects because of factors such as industry sector and investor nationality.
