Country risk: Difference between revisions
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''Risk management'' | |||
The risk that a country or an entity within a country will not be able to honour its financial obligations. | The risk that a country or an entity within a country will not be able to honour its financial obligations. | ||
Exposures can arise from - for example | Exposures can arise from - for example: | ||
*Interruption of business at the country level (political sovereign risk) | |||
*Currencies being blocked from cross-border repatriation (transfer risk) and | |||
*Central bank liquidity shortages preventing conversion (convertibility risk). | |||
== See also == | == See also == | ||
* [[Exposure]] | * [[Exposure]] | ||
* [[Political risk]] | |||
[[Category:Financial_risk_management]] | |||
Latest revision as of 14:36, 28 February 2018
Risk management
The risk that a country or an entity within a country will not be able to honour its financial obligations.
Exposures can arise from - for example:
- Interruption of business at the country level (political sovereign risk)
- Currencies being blocked from cross-border repatriation (transfer risk) and
- Central bank liquidity shortages preventing conversion (convertibility risk).
