This quarter we have added 10 additional countries to the BSRI, taking advantage of the increasing depth and quality of available data on emerging market economies. The new members are the Dominican Republic, Ecuador, Kazakhstan, Lebanon, Lithuania, Panama, Romania, Serbia, Sri Lanka and Uruguay. The BSRI now spans 89% of the JP Morgan EMBI Global Core index and 82% of the JP Morgan EMBI Global Diversified index, as well as major developed economies, providing a common framework of fundamental insights.
Drawing on a pool of more than 30 measures spanning financial data, surveys and political insights, the BlackRock Sovereign Risk Index (BSRI) provides investors with a framework for tracking sovereign credit risk in 60 countries.
The BSRI breaks down the data into four main categories that each count toward a country’s final BSRI score and ranking: Fiscal Space (40%), Willingness to Pay (30%), External Finance Position (20%) and Financial Sector Health (10%). For full details, see HOW IT WORKS.