Commercial Risks     Buyer’s failure to accept the exported goods & services Non – payment of the price of goods & services on due date Buyer’s protracted default due to bankruptcy, insolvency or lien      Political Risks   Outbreak of war or state of war Straining or severance of diplomatic relations with the buyer’s country as a result of which the exporter is unable to collect his receivables on the due date Imposition of economic policies in the buyer’s country which may block the exporter’s receivables Imposition of restrictions on imports or foreign exchange transfer in the buyer’s country Confiscation & Nationalization of the buyer’s properties as a result of which the exporter is unable to collects its dues