The 2006 Political & Economic Risk Map for Indonesia.

The 2006 Political & Economic Risk Map by Aon is out as of 10 January and shows a very modest improvement for Indonesia, with the country rising from the depths of high risk to the dizzy heights of medium high political risk. This is based on a five point scale, high risk being 5, medium high being 4.

Out of nine risk factors analysed Indonesia gets a red mark for all but one, Exchange Transfer. Those problems that Indonesia is at risk of are:

• Economic
• Strikes, Riots
• War
• Terrorism
• Sovereign Non-Payment
• Legal and Regulatory
• Political Interference
• Supply Chain Vulnerability

War and Sovereign Non-Payment seem a bit harsh but the others ring all too true. The globe-trotting businessman, the western kind, may be a little too timid and worry-prone. Asian businessmen are generally much less shy of doing business here on a large and committed scale.