Although risk tolerance seemed to be on the rise prior to the financial crisis, political risk remains one of the main obstacles to foreign direct investment in emerging markets. This is a key finding of a recent report, Read More" target="_blank" title="World Investment and Political Risk 2009">World Investment and Political Risk 2009, published by MIGA, which offers a snapshot of political risk perceptions of the largest multinational enterprises in the near future. The main messages of the report are:

• While political risks top foreign investors’ concerns, the global economic and financial crisis has not fundamentally altered FDI prospects for emerging markets.
  
  
• Concerns over political risks, combined with sustained FDI into emerging markets over the medium term, suggest a growing need for political risk mitigation and opportunities for the PRI industry.
  
  
• The emergence of South-based investors is increasingly shaping the global FDI environment and presents regional growth opportunities, but also challenges, for the PRI industry.
  
  
• Source; FDI