Economic consequences of Russian-Ukraine War

[Ripe_berry]

The ongoing war between the two countries will possess a great consequences on the their economic activities and will have great effect on the global society. Russia-Ukraine war has been seen to be dramatic and rapid, but its global economic consequences will be much slower to materialize and less spectacular time. The Economist intelligence Unit (EIU) clearly analyzed that the conflict between Russia and Ukraine will affect the global economy via three main channels: financial sanctions, commodities prices and supply-chain disruptions.

The main impact of the conflict between Russia and Ukraine on the global economy will come from a sharp rise in commodities prices and supply-chain disruptions.
Oil prices will remain above US$100/barrel as long as the conflict in Ukraine continues—probably for several months at least. Gas prices will rocket, and prices of agricultural commodities and base metals will also rise.
Sanctions, airspace bans and security concerns will add to pandemic-related supply-chain difficulties, further disrupting trade routes. Land, sea and air routes through Russia will be particularly disrupted.
The rise in commodities prices will fuel global inflation, which will surpass 6% this year. Despite risks to global growth, we do not expect the big central banks to significantly change course on monetary tightening.
Most of the economic impact of sanctions will be felt in Russia, but we have also revised our projections for European countries. Global growth will take a hit; it will stand at 3.4% in 2022, down from our previous forecast of 3.9%.

what other economic consequences do you think this war can have on the global economy.
Source:

[Hydrogen]

During times of crisis: suicide rates, drug overdoses, theft, homicides and crime dramatically rise. Homeless encampments swell in size. Migration rates increase, driven by refugees seeking to escape bad living conditions.

It happened during the 2008 economic crisis and COVID as well.

Having witnesed the effects of dependence on russian oil and uranium fuel, nations could seek to become more independent on local suppliers in an effort to depend less on global markets. The way that americans once sought to reduce dependence on oil from the middle east. Perhaps this is an outdated and obsolete mentality. People today don't seem to care much if they depend on foreigners for essentials.

The united states served for many years as a global police force. As the US dollar declines in its role as an international reserve currency, america's role as global police could also decline.

[Zilon]

Other consequences from the sanctions will be inflation in local production as the will not have direct contact with the international market and will result in producing more than the can consume as the price of oil keeps inflating as well as the supply-chain link.

Now the EU has joined force with the US to serve Russians  sanction we will be more of international restrictions of Russians moving across this nations

[kryptqnick]

The war is, of course, economically devastating, and both countries will suffer heavily from it. The difference is that Russia brought this war upon Ukraine, and Ukraine now must fight if it wants to survive. But yes, of course, the war will have global implications. Oil and gas prices, airspace changes, are things which are already very visible. Another thing I'd add is wheat, because Russia and Ukraine are some of the world's largest suppliers, especially to countries of the developing world. So regional famine is also probably going to happen (it's not just about the prices, but also about a humanitarian tragedy).

[fiulpro]

Despite all these stats we fail to educate ourselves about the long term consequences as well. Millions of people are starting a new life which does mean that they would be living under poverty for a while and would clearly need help from governmental authorities and other people as well, which would start to diminish after a while as well.

Many students have lost their studies and whatever was holding onto their family in regards to their better future as well, therefore they won't be able to get competitive salaries and good jobs as well. Whatever that is being done is incredible but it's not placing all the students in Universities back.

Many houses and buildings are destroyed, making it nearly impossible to rebuild in a short time, now Ukraine will lag behind a few years.

These problems are not just with ukranians but Russians as well since they are also facing difficulties due to sanctions and this is fairly extended in the EU as well due to rise in the prices of general things like Oil. You can see how prices are rising in Germany for cooking oil as well.

[Dunamisx]

Many countries are likely to be affected as well as a result of the ongoing Russia-Ukraine invassion but am well assured that Russia will loose more from the edge because it engage the war at first, secondly the world have developed a kind of sentiment against Russia because of the uncalled invassion and are breaking ties and relationship they might have developed in the previous with Russia, the Russian economy is capsizing and the rubble is of less international value, investors are leaving the country and the people are suffering, centralized exchanges places embargo on citizens account and the likes.

[DrBeer]

The economic consequences will be very noticeable and, of course, negative.
On the one hand, the supply of hydrocarbons from Russia to the EU will be cut off. But I hope that the market will self-regulate, and in 1-2 years, isolated Russia will be ready to sell oil for food.
But for the next year or two, we will have to come to terms with the increase in the cost of energy resources.
The second problem is the supply of food products, where Ukraine occupied a significant share, at least in supplies to the EU/USA. What will replace the deficit is hard to say, perhaps Turkey will try.
On the other hand, now a huge amount of money will be invested in Ukraine to restore infrastructure, housing stock, and industrial enterprises. And this means an influx of investments, the growth of the labor market, and the potential launch of more effective solutions on the territory of Ukraine.

[hyudien]

Almost all countries feel the negative impact of the war that does not know when it will end. And we are just victims of uncertainty about the responsibility for rising economic resources. Materials like the price swelled and it was very unpleasant. I can't imagine what it's like to be in a war zone where you have to survive without certainty, going to move places to save yourself. The source of meaning is lacking, the supply of survival is uncertain and then can people still think that this is aggression for the interests of the oligarchs?

[verita1]

It is notable that we have an environment of uncertainty, the consequences of the war in Ukraine is creating an economic crisis affecting the prices of energy and other raw materials.
The tension in the financial markets has caused volatility that will continue.
Central Banks are trying to maintain price stability and offer better conditions.
In the productive sector we can see references that have lowered industrial production, which caused shortages and inflation.

[bitzizzix]

Of course it will affect the world economy, domestically it can increase food and clothing prices as well as affect exports and imports.
and global impacts are rising oil prices on world markets, rising world natural gas prices, rising food prices such as wheat and rice, rising commodity prices in world markets such as. CPO, coffee, sugar, chocolate, spices and other commodities.
World trade will be disrupted because certain seas can be blocked due to wars between major countries, for example the Basphorus strait is closed by Turkey.

[ajochems]

The Economic was spoiled all over the world.This is only due to the war between this two country.The war was between the binladen and American,but it was revealed after some years.So their is some reason behind the Russia -Ukraine war.Same was revealed after 4 to 5 years.But we need to short this out.Or else we need to buy a glass of water at 5$,which was a huge economic crisis.

[Renampun]

...
what other economic consequences do you think this war can have on the global economy.
Source:

my country is currently affected by the Russia-Ukraine war...

During this time my country routinely buys oil from Russia but a few days ago Greenpeace boycotted our country's oil carriers and caused a shortage of oil in our country, now the price of oil in my country has increased by 25%, if this condition continues, it is possible that prices will even rise, basic needs here will also increase by 20% - 30%.

[boris singer]

The war is, of course, economically devastating, and both countries will suffer heavily from it. The difference is that Russia brought this war upon Ukraine, and Ukraine now must fight if it wants to survive. But yes, of course, the war will have global implications. Oil and gas prices, airspace changes, are things which are already very visible. Another thing I'd add is wheat, because Russia and Ukraine are some of the world's largest suppliers, especially to countries of the developing world. So regional famine is also probably going to happen (it's not just about the prices, but also about a humanitarian tragedy).

As felt until now due to war the economic sector was destroyed, and people began to save themselves and try to ignore what was happening. Oil, Gas, and necessities such as food are now drastically increasing in price in the market. Because basically whoever goes to war, everyone feels the impact. Russia is unlikely to back down when what they hoped for had not been achieved. Economic, social politics in Ukraine are now starting to split, some are surviving and some are better off going to other countries to secure their assets. Likewise, Russian investors are almost trying to avoid too big an impact.

[crzy]

The Economic was spoiled all over the world.This is only due to the war between this two country.The war was between the binladen and American,but it was revealed after some years.So their is some reason behind the Russia -Ukraine war.Same was revealed after 4 to 5 years.But we need to short this out.Or else we need to buy a glass of water at 5$,which was a huge economic crisis.

There’s a big reason why Russia attacks Ukraine and world leaders knows this, but then again war is not the best solution to any problem they should talk peacefully. Western sanctions seems not effective for now, USD/RUB is still in favor to Russia but hopefully Russia will soon realize the bad effect of war. Many countries are already suffering because of this conflict, we should all be concern about the situation since we are all affected.

[Johnyz]

We already talked about many consequences but still Russia didn’t want to fully stop their operation and will still continue to be on high alert for their own security, many Russian people already experiencing the consequences of this war especially the ordinary people, what other countries can do for now is to condemn Russia even if they are one of the major supplier of important goods. Economic consequences will be a big thing, we should not ignore this because inflation can boom if left unnoticed.

[Scripture]

We already talked about many consequences but still Russia didn’t want to fully stop their operation and will still continue to be on high alert for their own security, many Russian people already experiencing the consequences of this war especially the ordinary people, what other countries can do for now is to condemn Russia even if they are one of the major supplier of important goods. Economic consequences will be a big thing, we should not ignore this because inflation can boom if left unnoticed.

The consequences is already happening, many commodities are now getting more expensive and this is not just between Russia and Ukraine, other countries are also affected. This is a long war that can’t be stop easily even the big countries, and the only way to stop them is to keep on resisting just like what Ukraine did. I hope Russia wont do any major attack again and go for the peace talk, they ruin the whole country and they have to pay for it.

[boty]

The war is, of course, economically devastating, and both countries will suffer heavily from it. The difference is that Russia brought this war upon Ukraine, and Ukraine now must fight if it wants to survive. But yes, of course, the war will have global implications. Oil and gas prices, airspace changes, are things which are already very visible. Another thing I'd add is wheat, because Russia and Ukraine are some of the world's largest suppliers, especially to countries of the developing world. So regional famine is also probably going to happen (it's not just about the prices, but also about a humanitarian tragedy).

world economic will face hard difficulties if this war continue for long time. every commodity price soar uncontroll , especially energy which Rusia be  biggest exporter there. Oil and gas stopped to unfamiliar countries and its trigger inflation in some countries. this war really bring bad impact and need to ended immediately or financial recession may happen.

We already talked about many consequences but still Russia didn’t want to fully stop their operation and will still continue to be on high alert for their own security, many Russian people already experiencing the consequences of this war especially the ordinary people, what other countries can do for now is to condemn Russia even if they are one of the major supplier of important goods. Economic consequences will be a big thing, we should not ignore this because inflation can boom if left unnoticed.

they wont stop till their main purpose achieved, and this moment still far from this. unexpected accidents maybe still could happen in future. UN must take main roles to stop this war.

[Oceat]

We already talked about many consequences but still Russia didn’t want to fully stop their operation and will still continue to be on high alert for their own security, many Russian people already experiencing the consequences of this war especially the ordinary people, what other countries can do for now is to condemn Russia even if they are one of the major supplier of important goods. Economic consequences will be a big thing, we should not ignore this because inflation can boom if left unnoticed.

The consequences is already happening, many commodities are now getting more expensive and this is not just between Russia and Ukraine, other countries are also affected. This is a long war that can’t be stop easily even the big countries, and the only way to stop them is to keep on resisting just like what Ukraine did. I hope Russia wont do any major attack again and go for the peace talk, they ruin the whole country and they have to pay for it.

If Ukraine only agreed on the first place this wouldn't happen but they want to see how furious Putin then Ukraine suffer but I do hope this will stop since the Ukrainian president agreed not to make pact with NATO. This should stop and the peace talks will continue but the sanctions isn't gonna stop although I think Putin have a plan about this but he's just too busy to make the economy back again due to sanctioning by different countries.

[laredo7mm]

The ongoing war between the two countries will possess a great consequences on the their economic activities and will have great effect on the global society. Russia-Ukraine war has been seen to be dramatic and rapid, but its global economic consequences will be much slower to materialize and less spectacular time. The Economist intelligence Unit (EIU) clearly analyzed that the conflict between Russia and Ukraine will affect the global economy via three main channels: financial sanctions, commodities prices and supply-chain disruptions.

Many countries depended on Russian goods and natural resources. Russia and Ukraine is one of the biggest wheat producers in the world and middle Western countries depended on them. After the war kicks out the price of food spiked in those countries dramatically.

Russian gas can be said as a lifeline of the EU economy. That is the reason most of the EU countries denied putting any sanctions on the energy sectors due to war. Not only that Russia is the best rocket engine producer in the world and the even USA is dependent on that. That is the reason roksome corporation is still out of the sanction list like many other companies in Russia.

Actually, it's not easy to put sanctions on a country like China or Russia. For global trade and manufacturing world needs these two countries county.

[freedomgo]

We already feel the effect of that war, the oil price has increased drastically and it has affected everything, in fact, in our country, the inflation rate has increased from 3% to 4% just this month, so it really make people struggle especially those who are just earning a salary enough for their basic needs, now it's not anymore enough.