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Report · Pathways for Development

Derisking investment for the Sustainable Development Goals: the role of political risk insurance

How can political risk insurance help attract investment for the Sustainable Development Goals to developing and least developed countries?

UNCTAD · UNCTAD Policy Review · April 2025

Abstract

The report examines the role of political risk insurance in mobilising foreign direct investment for sustainable development, at a time when the annual SDG investment gap in developing countries has grown to about USD 4 trillion. It shows that export credit agencies are the main providers of such cover and that investment flows to least developed countries have fallen. It argues that political risk insurance has a critical and growing role in derisking investment in vulnerable economies.

Read the report at UNCTAD Policy Review

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