Country risk indices are used by international lenders to judge the risks of lending to a particular country.

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Country risk indices are commonly used by international lenders, investors and multinational companies to assess the potential risks associated with doing business in a particular country. These indices usually take into account a range of factors such as political stability, economic indicators, legal systems, and social conditions, among others. By analyzing these factors, lenders can estimate the probability of default or non-repayment of loans, and make informed decisions about whether to lend to a particular country or not.

Country Risk Indices Are Used by International Lenders to Judge