Telenor's annual reporting 2006 Annual review 2006

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Political Risk

The value of Telenor’s international operations and investments may be adversely affected by political, social, economic and legal developments in foreign countries.

Some of the countries in which Telenor has operations or in which we have made significant equity investments in telecommunications operators, have political, social, economic and legal systems that may at times be unpredictable. Political or economic upheaval or changes in laws or their application may harm the operations of the companies in which we have invested and impair the value of these investments to us. A significant risk of operating in emerging markets is that foreign exchange restrictions could be established. This could effectively prevent us from receiving profits from, or from selling our investments in, these countries.