Geopolitical Risk and Global Call Center Site Selection

Geopolitical risk has become an increasingly important factor in global site selection decisions, particularly for companies evaluating offshore and nearshore operations for their call center operations. Ongoing conflicts and geopolitical tensions involving regions such as Eastern Europe and the Middle East have elevated the importance of understanding country-level risk exposure before making long-term investment decisions. 

To help companies evaluate geopolitical stability, Site Selection Group analyzed and ranked 83 countries using five key indicators: corruption, terrorism, political stability, rule of law, and safety & security. Each factor was weighted equally to create a composite Total Index Score representing overall geopolitical risk. Higher scores indicate lower geopolitical risk, while lower scores reflect greater exposure to instability and operational uncertainty. 

Countries with the Lowest Geopolitical Risk

The analysis identified Singapore as the most stable country overall, followed closely by New Zealand. Europe dominated the top rankings, with eight of the 10 highest-scoring countries located within the region. 

These countries generally benefit from strong institutions, low corruption levels, stable governments, and favorable safety conditions, making them attractive for long-term investment and operational continuity.  

Countries with the Highest Geopolitical Risk

At the opposite end of the spectrum, Nigeria ranked as the highest-risk country in the study. Russia and Ukraine also ranked among the lowest-scoring countries due to the ongoing conflict in the region. Additionally, five of the 10 lowest-scoring countries were located within the Middle East and Africa (MEA) regions. 

While these countries may present elevated geopolitical concerns, many continue to attract foreign call center investment due to labor cost advantages, large talent pools, and multilingual workforce availability.

Regional Geopolitical Risk Overview

APAC

Singapore and New Zealand ranked first and second globally, reinforcing APAC’s ability to offer highly stable operating environments. Emerging destinations such as Vietnam achieved moderate risk scores, reflecting a balance between growing operational opportunities and manageable geopolitical exposure. 

India and the Philippines scored less favorably due to higher perceived corruption and terrorism risk. However, these concerns are often concentrated in specific regions rather than major business hubs such as Manila, Cebu, Pune, or Kolkata. As a result, metro-level due diligence remains critical when evaluating site opportunities within these countries. 

Canada

Canada continues to present relatively low geopolitical risk, supported by political stability and strong institutional frameworks. Although provincial-level geopolitical data is limited, certain urban markets demonstrate higher crime and safety concerns than others. Overall, however, Canada remains a highly stable environment for corporate investment and customer service operations. 

Europe

Europe remains one of the most stable regions globally, with 26 of 34 countries analyzed scoring above the global average. Ireland, Estonia, Lithuania, Portugal, Latvia, Croatia, and the Czech Republic all performed well and continue to attract significant call center and shared services investment. 

Poland, another established outsourcing destination, scored slightly below the global average but continues to remain competitive due to its skilled labor force and mature operating environment.

LATAM

The LATAM region continues to experience greater geopolitical variability due to historical political instability, corruption perceptions, and crime concerns. As a result, most countries within the region scored below the global average. Costa Rica stood out as an exception, benefiting from political stability, a favorable business environment, and lower perceived risk. 

Despite lower overall scores, countries such as Mexico and Colombia continue to attract investment because of labor availability, cost competitiveness and improving English-language capabilities. In these markets, selecting the right metro area, labor shed, and business district becomes especially important to mitigate operational risk. 

MEA

The MEA region currently faces elevated geopolitical uncertainty, particularly due to instability in the Middle East and ongoing regional conflicts. Countries such as Egypt scored poorly, reflecting heightened geopolitical exposure. 

South Africa achieved a stronger relative performance compared to several emerging African markets, although it still ranked below most European and North American countries. Meanwhile, countries such as Ethiopia, Kenya, and Nigeria continue to attract call center and outsourcing investment primarily because of significant labor cost advantages despite elevated geopolitical concerns. 

Geopolitical Risk Is Important, But Not the Only Factor

Geopolitical risk should be incorporated into every global call center site selection strategy, but it should not be evaluated in isolation. Many countries with elevated geopolitical risk continue to experience strong investment activity because they offer compelling advantages such as lower labor costs, large talent pools, multilingual capabilities, and operational scalability. 

Successful site selection requires balancing geopolitical stability with other critical operational factors, including:

• Labor availability and workforce quality 
• Compensation and operating costs
• Real estate availability and infrastructure 
• Language capabilities 
• Business continuity considerations 
• Regulatory environment 
• Long-term growth potential 

Site Selection Group supports companies through comprehensive global location strategy evaluations, including labor analytics, operational cost modeling, real estate due diligence, vendor benchmarking, and risk assessment. Understanding geopolitical exposure at both the country and metro level enables companies to make more informed, resilient, and strategic location decisions. 

Contact us to learn how we can help you navigate geopolitical risk and other risk concerns to best evaluate the location that is right for your next call center operation.