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Political Risk & Investment Climate Assessment

Frontier and high-growth markets are not riskier than mature markets in every respect. They are risky in ways that are poorly priced and rarely written down. We assess political, regulatory and investment-climate risk as it bears on a specific decision — a concession horizon, a phasing plan, a land position, a capital commitment — and deliver a judgement an investment committee or board can act on, not a country rating.

Our Methodology

Political Economy & Stability Baseline

We establish how decisions are actually made in the market: where authority sits, which institutions hold it durably, and how exposed the reform coalition behind a programme is to transition or succession. The horizon that matters is the asset's, not the electoral cycle's — a thirty-year concession requires a view on whether the arrangement survives the people who signed it.

Regulatory, Tenure & Contract Risk

We test the reliability of the specific instruments an investment depends on — land tenure and registration, permitting and licensing, contract enforceability and the practical route to dispute resolution — against the precedent record rather than the statute. What matters is not whether protections exist on paper, but how they have behaved when tested, and against whom.

Capital, Currency & Counterparty Exposure

We assess convertibility and profit repatriation, the fiscal capacity of the state or state-owned counterparty to honour long-dated obligations, and sanctions, ownership and integrity exposure across the counterparty chain. For PPP and concession structures this frequently determines bankability more than the underlying demand case does.

Scenario Testing & Mitigation Design

We stress-test the strategy against a defined set of scenarios and structure the mitigations into the deal itself — phasing and staged commitment, governance and step-in rights, political risk insurance, and development finance or multilateral participation used deliberately as a stabiliser. The output is a set of decisions, not a risk register.

How this connects to our other work

Country risk is rarely a standalone question. It surfaces inside a feasibility study whose returns assume a stable regulatory regime, inside an investment attraction mandate that has to answer an investor's first objection, and inside a PPP structure whose whole logic is the allocation of risk between public and private parties. We run this assessment as a discrete engagement where a decision requires it, and as a stress test embedded in the strategy work where it does not.

Scope of our advisory

Our work covers political, regulatory and investment-climate risk as it affects capital allocation and programme design. It is deliberately scoped to the investment decision: we do not provide operational or physical security consulting, protective services, or crisis response, and we will say so plainly where a mandate calls for them.

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