THE INDEX

Table of Contents

The Geopolitical Risk Index

The Geopolitical Risk Index offers a comprehensive evaluation of political, economic, and technological risks affecting countries and industries worldwide. Our methodology integrates diverse quantitative and qualitative factors to deliver accurate and meaningful risk assessments. 

By doing so, we help businesses, investors, and policymakers anticipate future challenges, adjust strategies, and capitalize on emerging opportunities. The index is designed not only for experts in international relations but also for decision-makers across industries who need clear and actionable insights into the dynamic landscape of global risks.

The Sub-Indexes

Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
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Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
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Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
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Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
Previous slide
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Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
Previous slide
Next slide
Political risk
The stability of the nation state according to political, social and economic criteria. Politic criteria include State Legitimacy, Government Effectiveness, Rule of Law, and Consecutive Years of Current Regime Type. Social aspect involves Group Grievance and Demographic Pressure. Finally, the economic dimension relates to Fiscal Health, Labor Freedom, Economic Decline, and Uneven Economic Development.
Government interference
We captured six different dimensions of government interference: 1) Perceived Corruption 2) Government Spending 3) Property rights 4) Regulation 5) Taxation 6) Trade Freedom. Starting from the assumption that a perfectly free market is the most efficient way to allocate resources, excessive or inappropriate government intervention tends to distort efficiency by a significant extent. Governments might have political instead of public interests when making regulatory decisions. Our final index spans from 2000 to 2022 and includes 165 countries.
Globalization
Interconnection among countries. It involves (1) Trade and Investments, (2) Tech, Knowledge, and people, (3) Multinational Enterprises, (4) Politics.
Conflicts and unrest
Risk or occurrence of events that can cause loss or risk to life, destruction of property or assets, forced migration, and internal and external threats to security. 7 dimensions are taken into account: (1) Security Apparatus, (2) Fractionalized Elites (Leadership Cohesion), (3) Refugees and Internal Displacement, (4) Ongoing Conflict, (5) Terrorism, (6) Militarization, and (7) Safety and Security for 160 countries worldwide with data from 2008 – 2023.
Geographical vulnerability
Level of geographical vulnerability of countries, both from a static and a dynamic point of view. The metrics included (1) Sea Access, (2) Sustainment of human activity, (3) Natural Disasters, (4) Climate Change, (5) Pollution, and (6) Natural Resources. Change of the dataset for the pollution section of the sub-index to now use the CO2 emissions of all world countries 2022 report from European Commission Emissions Database for Global Atmospheric Research.
Geoeconomic dependency
The extent to which reciprocal connection among states can be leveraged by states for foreign political agendas. This sub-index considers the most strategic economic sectors. (1) Energy Dependency, (2) Raw Materials Dependency, (3) Food Dependency, (4) Technological Dependency, (5) Financial Dependency and (6) Foreign Aid Dependency.
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Explore our detailed sub-indexes covering six key dimensions, each of them capturing a specific critical aspect of geopolitical stability and vulnerability:

  • Political Risk assesses the stability of state institutions and social cohesion.

  • Governmental Interventions evaluates regulatory environments and government influence over economic activities.

  • Globalization measures levels of trade, investment, and interconnectedness.

  • Conflict and Unrest tracks the presence and intensity of armed conflicts, terrorism, and civil unrest.

  • Geographical Vulnerability analyzes exposure to natural disasters, climate risks, and resource scarcity.

  • Geoeconomic Dependency examines the extent to which economic interdependence creates strategic vulnerabilities.

We refined our index by aggregating and weighting values in a logical and transparent manner, assigning each country a score from 0 to 10. A score of 0 indicates no significant geopolitical risk, while a score of 10 signifies the highest possible level of risk exposure.

Furthermore, our final index includes only those countries for which all six sub-indexes were complete and reliable. This methodological rigor resulted in a total of 147 countries across four different continents being analyzed, providing a truly global perspective.

Stay informed. Visit our Breaking Geopolitics section for expert insights and the latest geopolitical developments shaping global markets and industries.

Political risk sub-index

Data 5_Presentation

Click here to discover further details on the political risk sub-index in the full report

Governmental interventions sub-index

Data 4_Presentation

Globalization sub-index

Data 4_Presentation

Click here to discover further details on the globalization sub-index in the full report

Conflict and unrest sub-index

Data 1_Presentation

Click here to discover further details on the conflict and unrest sub-index in the full report

Geoeconomic dependency sub-index

Data 2_Presentation

Click here to discover further details on the geoeconomic dependency sub-index in the full report

Geographical vulnerability sub-index

Data 3_Presentation

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Final index - Find out more in the "Results" tab

FINAL INDEX

Click here to discover further details on the final index in the full report

The Corporate Geopolitical Risk Index Model (CGRIM)

The Sub-Indexes

Data 2-3-4 Presentation

In addition to the traditional Geopolitical Risk Index, the 2025 team introduced a new perspective, the Corporate Geopolitical Risk Index Model (CGRIM), designed to assess the exposure to geopolitical risks of corporations rather than just countries.

CGRIM allows businesses, especially multinational firms, to evaluate their exposure to geopolitical risks across various operational dimensions. The model provides a tailored approach that focuses on three key sub-indexes:

  • Headquarters Exposure Subindex, evaluating the geopolitical risks associated with the location of a company’s headquarters.

  • Supply Chain Exposure Subindex, assessing risks arising from the geopolitical conditions in the countries where the supply chain is located.

  • Retail/Revenue Exposure Subindex, measuring the geopolitical risk based on the locations where a company generates its revenue.

Each of these operational sub-indexes reflects a specific dimension of the company’s geopolitical exposure and is informed by the broader country-level geopolitical data collected for the standard Geopolitical Risk Index.

In terms of methodology, the CGRIM score is calculated based on geopolitical risk scores from the country level, further adjusted by the three specific operational factors for corporations. These scores are then weighted based on multipliers for sector risk and supplier concentration, resulting in a final CGRI score from 0 to 10, providing a level of risk exposure.

 

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