Businesses can no longer ignore the spectre of political risk, according to ANZ Chief Economist Richard Yetsenga. Success will come from recognising and acting on it.
“Political risk [like the ongoing US-China fallout] is part of your risk-management mandate wherever you operate,” he told ANZ’s Finance & Treasury Forum in October.
“This is not just an issue for parts of the global economy or emerging markets. Advanced economies are very much caught up in this.”
“Businesses should now expect actually that the terms of trade, the tariffs they face, or the terms of access to markets potentially can change quite quickly."
Speaking at the forum in Singapore, Yetsenga said businesses should be vigilant as the “rules of the game”, such as technology , evolve.
“Recognising those issues is the first step to getting in front of them,” he said.