Australia: Risk Assessment Political, Legal, and Regulatory Term Paper

Pages: 1 (368 words)  ·  Style: APA  ·  Bibliography Sources: 2  ·  File: .docx  ·  Level: College Senior  ·  Topic: Economics

Australia: Risk Assessment

Political, legal, and regulatory risks

Because of the stability of its government and relatively friendly attitude towards foreign enterprises, the 2009 World Bank Doing Business report judged Australia to be the third "most straightforward and affordable country to start up a business and in the top 10 countries in terms of overall ease of doing business" (Ellison 2009, p.1). Additionally, the Australian government has entered into a number of reciprocal free trade agreements with other nations and has generally avoided protectionist policies (Ellison 2009, p.1).

Exchange and repatriation of funds risks

In contrast to many developing nations, which have complex monetary repatriation laws, Australia does not. The Australian currency has remained relatively strong in recent years, relative to the U.S. dollar. However, its interest rate is comparatively high to U.S. And UK interest rates. Australians are advised: "anyone with UK property is advised to consider re-financing, if this is an available option" (Forex, 2010).

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Despite the global economic crisis, Australia gross domestic product rose by 2.6% in 2008 and Australia's GDP is likely to remain around 2.1% in… [END OF PREVIEW] . . . READ MORE

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