# **Table B2:  Political Stability & Absence of Violence/Terrorism**

|**Code**|**Concept Measured**|
|---|---|
|**Repre**|**sentative Sources**|
|<br>**DRI**|<br>_Military Coup Risk_: A military coup d’etat (or a series of such events) that reduces the GDP growth rate by 2% during any 12-month<br>period.|
||_Major Insurgency/Rebellion_: An increase in scope or intensity of one or more insurgencies/rebellions that reduces the GDP growth rate by<br>3% during any 12-month period.|
||_Political Terrorism:_An increase in scope or intensity of terrorism that reduces the GDP growth rate by 1% during any 12-month period.|
||_Political Assassination_: A political assassination (or a series of such events) that reduces the GDP growth rate by 1% during any 12-<br>month period.|
||_Civil War_**:**An increase in scope or intensity of one or more civil wars that reduces the GDP growth rate by 4% during any 12-month<br>period.|
||_Major Urban Riot:_An increase in scope, intensity, or frequency of rioting that reduces the GDP growth rate by 1% during any 12-month<br>|
||period.|
|**EIU**|Armed conflict|
||Violent demonstrations|
||Social Unrest|
||International tensions|
|**GCS**|_Country terrorist threat_: Does the threat of terrorism in the country impose significant costs on firms?|
|**HUM**|Frequency of political killings<br>Frequency of disappearances|
||Frequency of torture|
|**IJT**|Security Risk Rating|
|**IPD**|Conflicts of ethnic, religious, regional nature ...|
||<br>Violent actions by underground political organisations<br>Violent social conflicts|
||External public security|
|**MIG**|_Extremism._The term “extremism” covers the threat posed by any individuals or organisations who hold a narrow set of fanatical beliefs.<br>Extremists are likely to believe that any and all means are justified to eradicate the target of hostility, and are not afraid to destroy<br>themselves in the process. This ideological aspect of extremism makes it highly unpredictable, and its close association with violence<br>makes it highly dangerous. The extent to which extremism should be judged a threat to a particular business in a particular market can be<br>assessed along the following lines: integration issues; religious tensions; pressure groups; terrorist activity; xenophobia.|
|**PRS**|_Internal Conflict_**:**Assesses political violence and its influence on governance.|
||_External conflict:_The external conflict measure is an assessment both of the risk to the incumbent government and to inward investment.|
||_Government Stability._Measures the government’s ability to carry out its declared programs, and its ability to stay in office.<br>_Ethnic tensions_: This component measures the degree of tension within a country attributable to racial, nationality, or language divisions.|
|**PTS**|Political Terror Scale|
|**WMO**|_Civil unrest_ How widespread political unrest is, and how great a threat it poses to investors. Demonstrations in themselves may not be<br>cause for concern, but they will cause major disruption if they escalate into severe violence. At the extreme, this factor would amount to<br>civil war.|
||_Terrorism_ Whether the country suffers from a sustained terrorist threat, and from how many sources. The degree of localization of the<br>|
||threat is assessed, and whether the active groups are likely to target or affect businesses.|
|**Non-r**|**epresentative Sources**|
|<br>**AEO**|<br>Political Troubles|
|**BRI**|Fractionalization of political spectrum and the power of these factions.|
||<br>Fractionalization by language ethnic and/or religious groups and the power of these factions.|
||,<br>Restrictive (coercive) measures required to retain power.<br>|
||Organization and strength of forces for a radical government.|
||<sup>Societal conflict involving demonstrations, strikes, and street violence.</sup>|
|**WCY**|Instability as perceived by non-constitutional changes, assassinations, and guerrilla wars.<br>Risk of political instability|

73