The COVID-19 pandemic and geopolitical uncertainties and instability spell more risks for Chinese companies’ overseas investments, according to the Handbook of Country Risk 2021.
The annual report was issued on Tuesday by the China Export and Credit Insurance Corporation, or Sinosure. First launched in 2005, the report has served as a reference for Chinese companies seeking to invest overseas.
According to the report, global political risks are unlikely to be reduced quickly in 2022, with conflicts and confrontations in some regions persisting or intensifying, which could lead to a rise in global risk levels.
Moreover, the world’s economy is experiencing difficulty recovering from the pandemic. The report predicts that global economic growth will reach 4.7 percent in 2022, down one percentage point from 2021, and may fall to 3.3 percent in 2023.
“Only about 60 percent of countries recovered to…