| Aon issues political risk warning
Among the top 50 economies, the analysis found political and economic risk is at its highest in the oil-rich nations of Iran, Nigeria and Venezuela, where businesses face civil unrest, war, terrorism and non-payment by governments for services rendered. While the likelihood of terror attacks, crippling regulatory changes or strikes and civil unrest is relatively low in most of the world's wealthiest nations, such risks are very real in the nations whose economies are among the fastest growing. For example, companies doing business in Russia face an increased degree of state control in the natural resources sector. Additionally, the global risk management community is increasingly concerned about supply chain risks in Asia. "I have noted a significant increase in the number of CEOs, CFOs and chief risk officers who are seeking a greater understanding of how their businesses are at risk in an increasingly complex global environment versus their primary risk concerns 10 years ago," said Bryan Squibb, managing director of Aon Trade Credit Global. "Risk is one of the fundamental drivers of the global economy, and misunderstanding it can be fatal to a business. As the global business landscape is constantly changing, the Political and Economic Risk Map provides our clients with the proper analytical tools to assess these contingencies and determine how they may impact their sustainable growth, continuity and profitability." The results of the analysis are detailed on the ‘2008 Political & Economic Risk Map’, produced by Aon Trade Credit in partnership with Oxford Analytica, an international consulting firm. Countries among the 50 largest economies with elevated political & economic risk: Economy ranking / Country (Risk Level)
•Date: 17th January 2008• Region: World •Type: Article •Topic: Operational risk
|
