Which of the following is a major type of foreign investment risk that is insurable through government-backed programs?
A)Lack of funds
B)Risk of transaction loss
C)Poor strategic tie-ups
D)Risks of expropriation
E)Losses due to natural calamities

Question

Quizplus · Accepted Answer

Many investor nations now have government-backed insurance programs to cover major types of foreign investment risk. The types of risks insurable through these programs include the risks of expropriation (nationalization), war losses, and the inability to transfer profits back home. Such programs are particularly useful in encouraging firms to undertake investments in politically unstable countries.

Which of the Following Is a Major Type of Foreign