The 2016 FM Global Resilience Index – Mauritius tops in Africa with Mauritania, Egypt and Algeria at the bottom

Supply chain risk can create uncertainly, business volatility, and ultimately impacting a business’ performance. The 2016 FM Global Resilience Index, a global ranking of countries’ business resilience to supply chain disruptions, has recently been released. Common threats to resilience include lower oil prices, natural disasters and the spread of terrorism. For example, Switzerland overtook Norway as the lowest risk country, due to the fall in crude prices.

Oil and terrorism have hit a number of African countries particularly hard. The threat of terrorism had a negative effect on Côte d’Ivoire (ranked 58) and Nigeria (ranked 116); which was also impacted with a drop in oil prices.

The highest risk country in 2016 is Venezuela (ranked 130), for the second year in a row. The highest risk African countries are Mauritania (126), Egypt (124) and Algeria (123); largely impacted by oil and terrorism.

However, lower oil prices can also benefit some non-oil producing countries. For example Malawi (ranked 84), is one of the biggest risers in this year’s Index.

In Africa, Mauritius is the lowest risk (37) country, followed by Namibia (44) and South Africa (42). The Index is produced annually for FM Global by analytics and advisory firm Oxford Metrica.