Political polarisation a rising risk factor

New report for H2 2025 says political polarisation is on the increase and could have serious implications for investing in both emerging and developed markets.

Geopolitical Risk @Pixabay.
Rising political polarisation can effect whether it is a safe place to invest.

Risk from political polarisation around the world continues to become more of a pressing matter. This was according to the latest Political Risk Index by Willis. In the H2 2025 edition, the Index focused on political polarisation in countries worldwide and its main drivers and consequences.

Rising political polarisation is associated with increased political violence and unpredictable oscillations in government policies — factors that can affect a country’s financial stability and whether it is a safe place to invest.

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