How Russia Is Impacting World Economy?

On 24th February 2022, Russian President Vladmir Putin declared war on Ukraine. 

According to Putin, he wants to demilitarise and de-Nazify Ukraine.

this move is being globally criticized since this war has global impact.

Economic Consequences of Russia-Ukraine War

Impacted sectors






immediate impacts

1. oil and gas supply global cut 2. Hike in commodity prices 3. financial sanctions on russia

long term impacts

1. increase in inflation rate 2. hit on global auto supply chain 3. decrease in currency value

impact in numbers

oil prices surge by 40% to $101.2 since December 1, 2021 Brent crude prices hit $118 per barrel, the highest since September 2014 euro has fallen to $1.08, a five-year low against the dollar Russia's rouble fell to a record low of 89.986 per dollar

Impact on Russia

economic contraction to reach 10%, pushing russia into economic isolation Russia’s economy to move back by at least 30 years

“Our economy will need deep structural changes in these new realities, and I won’t hide this—they won’t be easy; they will lead to a temporary rise in inflation and unemployment”  Putin

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