International Risk Forecast

April 1985
Risk Management (00355593);Apr85, Vol. 32 Issue 4, p120
Trade Publication
This article discusses the report by Frost & Sullivan's Political Risk Services Division on the 1985 political climate for international business, which includes a forecast of risk in several countries. According to the report, the need for foreign investment by developing countries should keep 1985 risks at 1984 levels. The report cites Turkey, Argentina, Uruguay, and India as being among the countries where improved economies and more stable governments have made foreign investment a less risky business. The report finds that the economic need of many countries to attract foreign investment has led to a lessening of government restrictions in some countries creating a more positive environment for international business activities. In addition, several trends such as stable oil prices and the easing of Soviet-U.S. tensions are cited as having improved the business environment. The report notes however, that Chile, Cameroon, Peru, the Philippines, Nigeria, and Sri Lanka pose greater risks to investors primarily due to a lack of political stability.


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