WorldWatch - The Current Individual Country RiskLine Report for February 2013

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Africa
Algeria	D&B downgrades Algeria's country risk rating following an attack on a gas installation.
Angola	Prospects for the oil sector are particularly bright.
Botswana	The short-term economic outlook remains uncertain.
Cameroon	Economic performance will remain mixed in the short term.
Congo, D.R.	The political and security situation reaches a multi-year low.
Cote d'Ivoire	The short-term outlook continues to deteriorate.
Ethiopia	A cabinet reshuffle cements the new prime minister's authority.
Gabon	Growth prospects remain strong on the back of robust non-oil sector activity.
Ghana	The presidential election results are challenged in the Supreme Court.
Kenya	The possibility of a further key policy rate cut increases FX rate risk.
Libya	The security situation remains extremely volatile.
Malawi	Malawi meets IMF targets but macroeconomic indicators have deteriorated.
Mauritius	The 2013 budget is an ambitious mix aimed at boosting growth.
Morocco	An IMF review is broadly positive but warns of external risks.
Mozambique	The economy continues to show signs of resilience.
Namibia	The economy records strong growth amid improved export competitiveness.
Nigeria	Economic growth looks set to achieve positive levels.
Senegal	Spending cuts and revenue enhancements help to curb the fiscal deficit.
Sierra Leone	The short-term outlook remains in the ascendant following mostly free and fair elections.
South Africa	Zuma's re-election as ANC leader promotes political and commercial stability.
Sudan	A border security deal remains elusive but is likely to be achieved soon.
Tanzania	Robust economic growth continues but downside risks remain.
Tunisia	Economic prospects remain positive but political troubles could damage the outlook.
Uganda	The central bank pauses monetary loosening as inflation edges higher.
Zambia	The risk outlook is stable, although there are some concerns over mining policy.
Zimbabwe	Indigenisation laws remain a serious deterrent to investment.

Asia Pacific
Afghanistan	Uncertainty continues ahead of NATO's 2014 withdrawal deadline.
Australia	Survey results suggest business executives have been caught out by a wave of consumer pessimism.
Bangladesh	Urgent reforms are needed amid financial sector scandals and large numbers of bad loans.
Cambodia	The economy has remained resilient to the global slowdown.
China	Credit risks restrict confidence and impact the economic rebound.
Fiji	Political uncertainty remains high as the democratic transition process loses credibility.
Hong Kong	A dip in container traffic through Hong Kong port in 2012 is cause for concern.
India	After a difficult 2012, business confidence is on the rise.
Indonesia	A poor export performance increases pressure on the currency.
Japan	Policymakers embark on an extra stimulus programme.
Korea (South)	A government restructuring plan sends positive signals to the economy.
Malaysia	Exports rebound and domestic demand remains resilient.
Myanmar	Reforms continue but challenges lie ahead.
Nepal	The constitutional crisis lacks the prospect of any near-term resolution.
New Zealand	The outlook is stable as the economy looks set for moderate expansion.
Pakistan	Political risks have risen sharply since the start of 2013.
Papua New Guinea	The political situation has stabilised considerably since the 2012 election.
Philippines	Strong remittances support buoyant domestic demand.
Singapore	Significant challenges lay ahead despite the narrow avoidance of recession.
Sri Lanka	The economy will continue to slow into 2013 amid relatively tight policies and soft external demand.
Taiwan	Exports improve but consumer sentiment remains weak.
Thailand	Exports recover and domestic demand remains robust.
Vietnam	Expansion slows but the prospects are slightly better for 2013.

Eastern Europe
Albania	Chronic electricity supply problems look likely to continue.
Azerbaijan	The economic outlook looks set to improve but payment risks remain high.
Belarus	Another loan request to Russia confirms continuing economic problems.
Bosnia & Herzegovina	Growth prospects remain dependent on the euro-zone economy.
Bulgaria	Macroeconomic conditions look set to remain challenging.
Croatia	Faltering domestic and export demand weighs on economic growth.
Czech Republic	The economic downturn deepens.
Estonia	Exports weaken but the economy continues to grow.
Georgia	Concerns arise over a witch hunt of Saakashvili officials.
Hungary	Corporate weakness is expected to continue into 2013.
Kazakhstan	Despite an easing in 2012, economic performance remains generally positive.
Kyrgyz Republic	A recovery in the gold sector improves economic prospects.
Latvia	Recent data indicate a continuation of strong economic activity.
Lithuania	Despite some slight cooling in the short term, economic growth remains strong.
Macedonia	Progress on the 'name' issue with Greece brings EU membership closer.
Poland	Quarterly economic growth registers another slowdown.
Romania	Newly-elected coalition expected to keep policies on track.
Russian Federation	The slowing economy raises questions over government policy.
Serbia	The government begins to crack down on corruption.
Slovak Republic	Tax increases are good for the government finances but bad for growth.
Slovenia	Mass protests test the government's austerity plans.
Tajikistan	The development of hydrocarbon extraction offers a significant economic boost.
Turkmenistan	Gas exploitation continues to underpin rapid economic growth.
Ukraine	The economy looks to have experienced another quarterly contraction.
Uzbekistan	The economic outlook remains positive but payments risks remain high.

Middle East
Bahrain	Domestic tensions show no sign of abating.
Egypt	D&B downgrades Egypt's country risk rating as political tensions rise.
Iran	The government admits that sanctions are hitting the vital oil sector.
Iraq	On-going security issues continue to undermine the risk outlook.
Israel	The economy slows as political risk increases.
Jordan	The IMF gives a positive review of economic progress, despite several challenges.
Kuwait	The December general election does little to ease political tensions.
Lebanon	Elevated political and economic tensions impact the risk outlook.
Oman	A sharp rise in spending will boost lending and spur growth.
Qatar	Growth slows as capital development remains sluggish.
Saudi Arabia	The 2013 budget maintains an expansionary stance.
Syria	A presidential speech confirms the impossibility of a negotiated resolution to the civil war.
UAE	Attempts to control mortgage lending are set to impact negatively on house prices.
Yemen	Assassinations and attacks on crucial infrastructure maintain pressure on the risk outlook.

The Americas
Argentina	Multilateral funding threatened as IMF concerns remain unaddressed.
Bolivia	Expropriation risks rise despite positive economic prospects.
Brazil	The central bank keeps benchmark interest rate at historic low.
Canada	Risks are moderately balanced on the downside.
Chile	Stable inflation enables the central bank to maintain its benchmark interest rate.
Colombia	The central bank eases monetary policy further amid concerns over economic growth.
Costa Rica	Political tensions undermine government reforms.
Cuba	In another move away from rigid control, Cuba relaxes its immigration rules.
Dominican Republic	Financial assistance from the IMF is not forthcoming.
Ecuador	The growth momentum remains sound but several factors hinder faster expansion.
El Salvador	Sharply contracting FDI inflows undermine economic growth.
Guatemala	Despite falling homicide rates, security remains a major problem.
Honduras	The short-term risk outlook remains under pressure ahead of the November elections.
Jamaica	Growth prospects remain fragile but the outlook is positive.
Mexico	The central bank maintains its key interest rate as inflation remains tolerable.
Nicaragua	The short-term outlook stabilises amid positive economic prospects.
Panama	Inflation spikes in December, reversing a cooling trend.
Paraguay	An improving outlook for exports indicates robust short-term economic growth prospects.
Peru	Despite a stable country risk outlook, some key downside risks remain.
Trinidad & Tobago	The central bank remains accommodative as headline inflation falls.
USA	Politicised fiscal policy could restrict economic growth.
Uruguay	The central bank hikes benchmark interest rate as it grapples with inflation.
Venezuela	Political and economic uncertainty persists as the presidential inauguration is deferred.

Western Europe
Austria	The key export-driven manufacturing sector continues to slow.
Belgium	The long-term growth potential remains sound but the short-term outlook is poor.
Cyprus	D&B downgrades Cyprus' country risk profile as bailout negotiations stall.
Denmark	The high number of business failures increase payment and credit risks.
Finland	Weak domestic and foreign demand push the country into recession.
France	Weak growth means the government is unlikely to achieve its targets.
Germany	The service sector is recovering quickly but manufacturers still struggle.
Greece	Greece's woes remain acute despite a successful buy back.
Iceland	D&B upgrades Iceland's country risk rating to reflect its continued recovery.
Ireland	The economy struggles but forward-looking indicators offer some optimism.
Italy	Downbeat economic and political developments keep the risk profile under pressure.
Luxembourg	The economy struggles amid recession in the broader euro zone.
Malta	Shrinking household demand impacts economic growth but there are some positive signs.
Netherlands	Austerity measures undermine growth prospects in 2013.
Norway	Consumer demand and investments remain robust.
Portugal	Economic indicators point to further recession ahead.
Spain	The economic recession looks set to continue.
Sweden	Economic growth slows further, but the government is implementing an ample stimulus programme.
Switzerland	Business failures continue to rise but signs of recovery are on the horizon.
Turkey	The economic outlook improves but downside risks remain high.
United Kingdom	Leading indicators show the economy sliding back into recession.