How Sovereign Risk Perception Shapes Private Sector Investment Decisions Here is a question every international investor has wrestled with. You find a great project. Good economics. Strong management. Clear market demand. But it is in a country with political uncertainty, high debt, or recent instability. Do you invest? The answer depends on something called sovereign risk perception. It is not…
Structuring Blended Finance Deals for African Markets Africa has a money problem. Not because the continent is poor. Far from it. Africa has the world’s youngest population. Rapidly expanding cities. Enormous natural resources. Extraordinary investment opportunities everywhere you look. The problem is a gap. A massive, stubborn gap between the capital available and the capital needed. Estimates put it at…
Stress-Testing Feasibility Studies for Macroeconomic Shocks Here is a question that keeps project sponsors up at night. What happens to your multi-million dollar investment if everything goes wrong at once? Inflation spikes to 15 percent. The currency drops 30 percent. A recession cuts demand by 20 percent. Interest rates rise another 300 basis points. Your feasibility study probably looks great…
