Jurisdiction Risk

Jurisdiction Risk

1. The added risk of making a loan to a borrower in a foreign country. Such risks include exchange risk, political risk, and legal risk.

2. The risk of placing funds under the jurisdiction of a foreign central bank. These risks include exchange risk and political risk. For example, jurisdiction risk includes the possibility that the foreign government will confiscate all foreign currency in the country.
References in periodicals archive ?
Contract awarded for Traffic lights in 2016 Uiseong County jurisdiction risk (Beacon) Installation
New jurisdiction risk -- Risk of legal liability can vary depending on the jurisdiction in which the claim arises.