political risk
The risk of loss when investing in a given country caused by changes in a country's political structure or policies, such as tax laws, tariffs, expropriation of assets, or restriction in repatriation of profits. For example, a company may suffer from such loss in the case of expropriation or tightened foreign exchange repatriation rules, or from increased credit risk if the government changes policies to make it difficult for the company to pay creditors.
Related Terms on BusinessDictionary
Popular 'Global' Terms
Related Personal Finance Articles
Loading...
political risk in the news
Loading...
Get our content on your iGoogle page
RSS