Political risk for foreign firms in the Western CIS: An analysis on Belarus, Moldova, Russia and Ukraine

This report analyses the political risks of Belarus, Moldova, Russia and Ukraine from a foreign firm's point of view. Russia's increasing economic nationalism means increasing investment risk for foreign investors. The political climate in Ukraine is unfavourable to foreign investment but not to the extent that it would prevent or seriously restrict the possibilities of operating in the market. The political risk in Belarus is related to the centralisation of authority over economic policy. In Moldova, political risks for foreign investors are clearly present in this economically and politically problematic situation. All in all, political risk remains elevated in Belarus, Moldova, Russia and Ukraine.