Risk analysis of any country must include its currency risks.

Question

Quizplus · Accepted Answer

Including currency risks in a risk analysis of a country is crucial as it determines the value of investments and affects the profitability of businesses operating in the country. Changes in exchange rates can cause fluctuations in the value of investments and may make imports and exports more expensive or cheaper, leading to a significant impact on a company's financial performance. Thus, it is necessary to consider currency risks while analyzing the risks of a country.

Risk Analysis of Any Country Must Include Its Currency Risks