What does the Sovereign Risk score mean?
The Sovereign Risk score assesses a country’s economic and financial resilience, as well as its capacity and political commitment to meeting foreign debt obligations. The score reflects a wide range of macroeconomic and institutional indicators, including fiscal strength, economic stability, and the quality of governance. A higher score indicates higher risk.
How is the score presented?
- The score ranges from 0 to 100 and is classified into five risk categories: Very Low Risk, Low Risk, Medium Risk, High Risk, and Very High Risk.
- The score helps you compare countries’ economic and financial fundamentals and understand the overall risk of doing business or investing in a particular country.