international financial management
Unit 12
Country Risk Analysis
Structure
12.1 Caselet
12.2 Introduction
Objectives
12.3 Country Risk Factors
12.4 Assessment of Risk Factors
12.5 Techniques to Assess Country Risk
12.6 Measuring Country Risk
12.7 Governance of Country Risk Assessment
12.8 Case Study
12.9 Summary
12.10 Glossary
12.11 Terminal Questions
12.12 Answers
References/e-References
12.1 Caselet
Q3 economic situation is found unfavourable by finance executives
A study has put forward that most of the senior finance executives are of the opinion that the macro-economic conditions of a country are likely to remain “unchanged” or “unfavourable” in the July-September quarter.
The Dun and Bradstreet India CFO survey states that in comparison to the previous quarter, the optimism level for the overall macroeconomic conditions has gone down in the third quarter of 2012. This is mainly because of difficult domestic as well as international economic conditions.
It is considered by around 73 per cent of the surveyed CFOs that the overall macro-economic conditions during Q3 2012 will be unfavourable or will remain unchanged. There is an increase of around 24 per cent from Q2
2012, thus expressing a weak business sentiment.
The chief operating officer of Dun & Bradstreet India said that the overall
CFO optimism level has further declined during Q3 2012 due to tough domestic conditions in addition to the prolonged worries about the European debt crisis weigh on overall confidence.
International Financial Management
Unit 12
The increasing concerns related to both global and domestic economy have led to an increasing focus on risk management tools for the coming six months. Around 82 per cent are of the opinion that the level of financial risk on the company’s balance sheet will either increase or will remain constant in Q3 2012.
“A large number of CFOs continue to remain focused on Risk Management as a key priority area and implementing risk mitigation
Country Risk Analysis
Structure
12.1 Caselet
12.2 Introduction
Objectives
12.3 Country Risk Factors
12.4 Assessment of Risk Factors
12.5 Techniques to Assess Country Risk
12.6 Measuring Country Risk
12.7 Governance of Country Risk Assessment
12.8 Case Study
12.9 Summary
12.10 Glossary
12.11 Terminal Questions
12.12 Answers
References/e-References
12.1 Caselet
Q3 economic situation is found unfavourable by finance executives
A study has put forward that most of the senior finance executives are of the opinion that the macro-economic conditions of a country are likely to remain “unchanged” or “unfavourable” in the July-September quarter.
The Dun and Bradstreet India CFO survey states that in comparison to the previous quarter, the optimism level for the overall macroeconomic conditions has gone down in the third quarter of 2012. This is mainly because of difficult domestic as well as international economic conditions.
It is considered by around 73 per cent of the surveyed CFOs that the overall macro-economic conditions during Q3 2012 will be unfavourable or will remain unchanged. There is an increase of around 24 per cent from Q2
2012, thus expressing a weak business sentiment.
The chief operating officer of Dun & Bradstreet India said that the overall
CFO optimism level has further declined during Q3 2012 due to tough domestic conditions in addition to the prolonged worries about the European debt crisis weigh on overall confidence.
International Financial Management
Unit 12
The increasing concerns related to both global and domestic economy have led to an increasing focus on risk management tools for the coming six months. Around 82 per cent are of the opinion that the level of financial risk on the company’s balance sheet will either increase or will remain constant in Q3 2012.
“A large number of CFOs continue to remain focused on Risk Management as a key priority area and implementing risk mitigation
References: • Kaur, Dr. Harmeet. International Financial Management. Delhi: Vikas Publishing. • Kumar, Neelesh. International Financial Management. Delhi: Vikas Publishing. Sikkim Manipal University Page No. 259