The most vulnerable economies in the world – expert report

Analysts of the German rating agency Scope Ratings have updated the list of 95 countries with the most vulnerable economies.

It was led by Zambia, Lebanon and Angola. The main criterion is resistance to external economic risks. Experts note that against the backdrop of the outbreak of a pandemic in the world, the economies of many countries faced significant inflation in 2020. But this year the situation with the coronavirus is gradually improving, so central banks have begun to tighten monetary policy.

The compilation of the list was preceded by a study of the level of vulnerability to a potential balance of payments crisis and the ability of the state to cope with the difficulties that had arisen. Based on expert research, the top ten countries with the weakest economies include: Zambia, Lebanon, Angola, Georgia, El Salvador, Belarus, Sri Lanka, Argentina, Armenia, Turkey.

Russia is almost in the middle of the new list – at 41st place, but in 2020 it was 21 lines higher. Scope analysts believe that the onset of a crisis in the Russian Federation is very likely, but the country has every chance of coping with it quite easily. Experts admit:

“The reorientation of the Russian economy towards autarky (self-sufficiency) in recent years has strengthened its resilience to crises in the external sector.”

However, Scope experts warn: US and European sanctions hinder the inflow of investments into the country’s economy – the business and investment climate remains unfavorable.

Ukraine in the Scope Ratings list rose 15 positions (compared to 2018) – its national reserves grew to about $ 30 billion.

In September, Germany’s Scope Ratings raised Greece’s sovereign credit rating from BB to BB +, placing the country one notch below investment grade – the first rating agency to do so, according to reports. Kathimerini. Christos Staikuras, Minister of Finance, commented:

β€œThe rating agency has raised the country’s solvency for the third time in the face of the health crisis and high uncertainty around the world, thus offering another vote of confidence in Greece and its prospects. Without a doubt, this is a positive development, which has recently been added to the chain of positive changes and improvements in economic performance. “

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