In investment terms, this can refer to the risk investors face of owning a security issued by a national government which might default on its financial obligations. It can also refer to the risk investors face of owning a security issued in a country other than where they live because, for example, the foreign government might impose regulations restricting the ability of issuers in that country to meet their obligations, such as foreign currency restrictions. Or unfavorable political events in the country of the debtor might jeopardise repayment.