Q How is country risk measured
We assess the financial situation, political situation and the general environment that may impact on the payment ability of the corporate in the country. At Coface, we have developed our own rating where we estimate the average probability of default of the corporate situated in the country. This is important because at Coface we guarantee the payment of trade between two enterprises. It is a financial analysis.
On top of this we have to take into account other factors that may impact on the ability of the company to make payment. We assess the factors in a country that will impact...
