Reduce Risk

Country Risk

When selling to another country, you run a risk relative to that country. It is therefore important for you to compile a list of countries with which you are prepared to trade.


Introduction

The main considerations when drawing up a list of countries with which you are prepared to trade are:

  1. Is it subject to sanctions?
  2. How difficult is it to do business there? Is there a high degree of corruption?
  3. Will importers be able to access the foreign exchange to pay you?
  4. Is the political situation such that sanctions are or could become a problem?

To help answer these questions, see:

  • The U.K. Government's Foreign and Commonwealth Office ("FCO") Assessment.
  • The ExportersAlmanac Country Profiles - Trade Profile.

You should now have a list of countries with which you are prepared to trade.


The Overseas Business Risk

Check the UK Government’s Foreign and Commonwealth Office (FCO) Assessment.

The Overseas Business Risk service provides geopolitical and economic analysis on overseas markets to new and expanding exporters. The guides also provide information on potential risks including human rights issues, bribery and corruption, terrorism, criminal activity and intellectual property.

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Your Own Policy Considerations

To see a country-by-country Country Sanctions and Country Rating\Political Risk Assessments, see the ExportersAlmanac Country Profiles -Trade Profile.

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Here you can see that:

  • Syria is subject to EU and OFAC (US) sanctions.
  • The Corruption Perceptions Index is 178/180
  • The Ease of Doing Business Ranking: 179/190
  • Country Ratings are provided by Coface and Credendo


Now add in your own filters (e.g. Same time zone, English used as a Business Language etc.) – all of which are indicated in the ExportersAlmanac Country Profiles.

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