Answer to Question #115228 in Economics for loor

Question

what are financial risks faced by Brazil ?
Note financial risks are : Interest rate risk, market risk, credit risk, off-balance-sheet risk, foreign exchange risk, country or sovereign risk, technology risk, operational risk, liquidity risk, insolvency risk

Answer 1

In Brazil political and economic uncertainties and an occasionally difficult business environment can affect corporate payment behavior. Corporate default probability is appreciable.

So, financial risks faced by Brazil are:

market risk, credit risk, country or sovereign risk, insolvency risk.