Governance and State Risk Management

Abstract

This article highlights the central role of the state in risk governance and crisis management. The modern state can no longer limit itself to a reactive response to a variety of threats, including political, economic, social, security, and environmental ones. Instead, it must incorporate risk management into its decision-making processes in order to strengthen its legitimacy, maintain institutional stability, and ensure the protection of its citizens. Despite the abundance of literature on public governance and risk management, the two fields have developed largely independently, and few studies provide an integrated framework linking public governance, state risk typologies, and risk-mapping tools that are applicable at the state level. This article addresses the following research question: how can the integration of risk management into governance mechanisms enhance the effectiveness and strengthen the resilience of public institutions in the face of multiple interdependent risks?

This research, which is based on a narrative review of forty-one institutional and academic sources published between 1993 and 2025, shows that such integration promotes a proactive strategy based on risk identification, assessment, prevention, and reduction.

The use of strategic tools, such as risk mapping, is crucial for identifying multifaceted threats, assessing their likelihood and consequences, and then prioritising them according to their criticality. The study makes three contributions: a typology of state risks in five categories, a synthesis grid linking each category to its effects on governance and to mitigation strategies, and an integrative conceptual framework combined with a risk-mapping methodology. The resilience of public institutions and the continuity of their essential services are strengthened by governance that incorporates systematic risk management.

JEL Classification: H11, H12.

Paper type: Theoretical Research.