Despite strong growth in the last four years, Brazil, Russia, India and China have not become less vulnerable to shocks in the global economy, according to a new study released by global risk research company Maplecroft.
In the emerging economies known as the BRICs, the Global Risks Atlas 2012 found that governance and reforms have not kept pace with economic growth, leaving the nations vulnerable to potential risks such as terrorism and climate change.
According to the report, India and Russia are among 41 countries classified as “high risk” because of factors identified as weak governance, systemic corruption and terrorism. China is also exposed to security issues, but is classified as “medium risk” because it is unlikely to face a political or social unrest on a national scale.
Brazil was also defined as a “medium risk,” but is considered less susceptible to global risks, partly because of the stability of its political structure and history of strong governance.