Geopolitical Risk

Ongoing conflicts, policy uncertainty, and trade tensions underscore the fragility of security, political stability, and event risk in a fragmented geopolitical context. Recent events are a major escalation and feed directly and indirectly into key credit risks. S&P Global Ratings has identified geopolitical tensions as the top risk to global credit conditions for a prolonged period—and we believe that the Middle East war, depending on duration and scale, could have long-lasting effects on commodities and financing conditions, global supply chains, and macro-credit conditions more broadly.