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Finance Dictionary and Glossary of Investment Terms
Country risk
Definition 1.
General level of political, financial, and economic uncertainty in a country affect which the value of loans or investments in that country.
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Definition 2.
The risk that a country will not be able to honor its financial commitments.
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Definition 3.
The potential volatility of foreign stocks, or the potential default of foreign government bonds, due to political and/or financial events in the given country.
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