Back to the stone age: Venezuela now safer than Greece

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By:
Andrew Mortimer
Published on:

Greece's collapse in our proprietary political risk scoring is without historic precedent; the country is now rated below Venezuela, Belize and Papua New Guinea.


As Greece tumbles without a government, its political collapse places the eurozone's future on a knife-edge. Against this backdrop, we thought it would be worth digging into data stored in the Euromoney Country Risk survey, which tracks economists’ perceptions of sovereign risk in 180 markets. The result: Greece's country risk score has collapsed by almost 25 points since September 2010, the steepest fall in European history over the past thirty years.

Euromoney Country Risk scores: Peripheral Eurozone and France:

Greek Political Risk Increasing
ECR politcal risk scores, Peripheral Eurozone 2010-2012 
 
Source: Euromoney Country Risk (100=safest, 0=riskiest) 

Greece's country risk score of just 35 points out of 100 is the worst on record for any so-called (by the OECD, at least) advanced economy, with the result that Greece is now ranked below Venezuela, Belize and Papua New Guinea in Euromoney's Country Risk Rankings.

Greece and Peers, Euromoney Country Risk Rankings, May 2012 
 
Source: Euromoney Country Risk  


And at least markets can deal with the devil they know in Chavez.