What Is Geopolitical Risk?

Political risk is a type of risk faced by investors, corporations, and governments that political decisions, events, or conditions will significantly affect the profitability of a business actor or the expected value of a given economic action.

What is meant by geopolitical risk?

Accordingly, we define geopolitical risk as the risk associated with wars, terrorist acts, and tensions between states that affect the normal and peaceful course of international relations.

What is geopolitical risk management?

Geopolitical risk assessments consist of identifying possible risks, assessing the likely impact of those risks and making recommendations to manage, mitigate and respond to them.