Political Risk & Terrorism – How can Businesses cope?

November 28, 2019

Following the annulment of the presidential election held on the 8th of August 2017 by the Supreme Court, Kenya has been witnessing unprecedented political tension. This has had negative effects on the economy as most businesses were feeling the crunch from the extension of the electioneering period. Additionally, it is important to note that terrorists find unstable governments an easy target, thus making the situation even worse.

Given the nature of political risks and terrorism, which are largely exogenous and thus out-with individual control, businesses cannot patiently sit idle without having mitigation plans in place. Furthermore, during these periods of political uncertainty, businesses need to be proactive and take measures to protect their operations and their employees from potential violence. While the causes of political risk may be outside your control, there are still precautions you can put in place to protect against them.