Political instability, high corruption levels, unfriendly business regulations and environment are just some of the factors that make a country an unfavorable place to do business in. War ravaged countries of the Middle East and Africa are either too risky for doing business or totally closed to business initiatives taken or proposed by foreign, even global companies. Countries where military coups often occur, or that place too much taxes on corporates are shunned by corporates.
The African country of Eritrea stands at the top of the table of countries with the highest risk of doing business. The country is placed at the 189th rank. Coming second is the North African nation of Libya. The country is not conducive to doing business due to the political instability being faced with the fall of Muammar Gaddafi, the erstwhile dictator of the country. The newly created country of South Sudan, which faced nearly 20 years of civil war, was placed at the third spot of the countries which are not favorable for business. The South American nation of Venezuela, which is facing the world’s highest inflation rate at 180 percent and shortage of basic goods, is the fourth country to be placed on the countries with the highest risk of doing business. The other countries on the top ten list are all African nations and include Central African Republic, Congo Democratic Republic, Chad, Haiti, Angola, and Equatorial Guinea.
|Central African Republic||185||185|
|Congo, Dem. Rep.||187||184|
|Syrian Arab Republic||173||175|
|Sao Tome and Principe||163||166|
|Fragile and conflict affected situations||157||158|
|Heavily indebted poor countries (HIPC)||152||152|
|Least developed countries: UN classification||151||151|
|Micronesia, Fed. Sts.||146||148|
|Papua New Guinea||141||145|