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Abigail Hofman:

Abigail Hofman:

I wonder if ______ is an extremely optimistic person or in a cocoon of senior management denial

Bank deleveraging has barely started

Bank deleveraging has barely started

Banks lending money to governments to help fund bank bailouts looks horribly circular

September 2008

Country risk September 2008: Money talks in a world of risk

by India Sturgis

It could be the perfect storm – financial, macroeconomic and geopolitical risk are all on the rise. Risk is both where you anticipate it, and where you least expect it.






But according to analysts taking part in Euromoney’s semi-annual survey of country risk, the places getting safer are those riding the oil boom or at last exploiting the vast potential of their people and their economies.

The Middle East, despite its political dilemmas, remains on a steady upward path. And it’s no surprise to see Brazil, Russia, India and China rising up the ranks.

For a safe haven, the traditional destinations of Luxembourg, Switzerland and the Nordic region remain unbeatable.

Our next survey, to be published in March 2009, will show the impact of a new US president, unrest in the Caucasus, the government bail-out of Fannie Mae and Freddie Mac, and other shocks as yet unknown.

Methodology

Regional breakdown

Western Europe North America
Middle East Latin America
Eastern Europe Caribbean
Australasia Asia
Africa


Full results are available for level 2 subscribers to view.

More information on country risk


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Fannie Mae and Freddie Mac are too big to fail by an order of magnitude, in terms of the contingent liability to the federal government.

Thomas Stanton, a Washington attorney who once worked for Fannie Mae. From the archive: Freddie and Fannie arent sovereign, July 1999

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