Vulnerability
The conditions determined by physical, social, economic and environmental factors or processes which increase the susceptibility of an individual, a community, assets or systems to the impacts of hazards (UN, 2016).
Lack of Reliability Index
An INFORM measure on a 0-10 scale of how far a country’s risk score can be trusted, based on missing data, out-of-date data and conflict status.
Risk class
A labelled band on an index scale, such as Very Low to Very High, set by fixed thresholds so that a country’s position can be read without relying on its exact rank.
Disaster risk
The potential loss of life, injury, or destroyed or damaged assets in a specific period, determined probabilistically as a function of hazard, exposure, vulnerability and capacity (UN, 2016).
Country credit risk
In the OECD Arrangement, the likelihood that a country will service its external debts, covering moratoria, transfer delays, exchange-rate discharge laws, other government measures and force majeure.
Country risk index
A composite measure that scores or classifies countries by their likelihood of suffering a defined type of loss, built from many indicators under a stated framework, normalisation, weighting and aggregation method.
Winsorisation
An outlier treatment that assigns extreme values the next highest or lowest value in the distribution, so that outliers do not become unintended benchmarks.