Working with a client investing in infrastructure, we were asked to map the interests and influence of government-linked power players in a Central American country to understand the sector’s exposure to their activities.
ChallengeA client, evaluating a new country entry opportunity in Nicaragua, needed an expert assessment of their potential exposure to political influence in business decisions. This was specifically in relation to the involvement of members of the Ortega family, or individuals with close links to the government in their operating sector.
SolutionThe power mapping element of our sector-specific country risk analysis service allowed the client to understand the degree of political entrenchment in the business operating landscape and assess real and potential exposure to unfair treatment. Our dynamic analysis kept the client abreast of a rapidly evolving political landscape in a context of escalating social conflict, decreasing government stability and the potential for a sudden break with the current policy path.
OutcomeThe client could identify the movers and shakers in the country and assess their exposure to these individuals and their business interests. By tracking political developments as they unfold, the client was also able to assess the impact of political volatility on the operating environment early on and develop a mitigation strategy that reduced exposure to the fallout of a potential sudden change in government.