Rise of populism reshapes global risks

Medford

FOR decades, political risk has been synonymous with developing countries and emerging markets in Africa, Asia and Latin America. The rise of populism in the Western world redefines the notion of political risk and teaches that risk has no permanent address.

Mitigating the risk requires avoiding arrogance towards those embracing populism. A dismissive response delegitimises the phenomenon, leaving us unable to manage implications for democracy and all issues of economic development in poor countries, and the very idea of political risk itself. Those who oppose populism must engage with it rationally in the political space with the force of their own ideas.