Experts talked regarding huge losses that the global economy will suffer as a result of the situation related to Ukraine, and according to experts’ predictions, the global economy will suffer losses of no less than 400 billion dollars.
In an analysis conducted by the Economic Information Unit (EIU), it is expected that the growth of the global economy will suffer a major blow, and the analyzes indicated that European countries will be the most vulnerable to economic impact.
The unit said that the rise in commodity prices, including oil, is the most serious threat to the global economy, followed by sanctions once morest Russia, which would disrupt trade routes, and Ukraine and Russia are expected to witness an economic stagnation this year, and countries are also expected to experience Eastern Europe most dependent on Russian trade, such as Lithuania and Latvia, to severe blows.
The unit lowered its growth forecast for Europe in 2022 to 2 percent from 3.9 percent.
Earlier, a report by the National Institute for Economic and Social Research in the United Kingdom warned that the global economy might lose up to a trillion dollars this year due to the conflict in Ukraine, and the report also warned of high inflation rates.
The institute said that the situation around Ukraine will contribute to an increase in global inflation by 3% this year by triggering another crisis in the supply chains.
Last week, Russia launched a special military operation in Ukraine to protect Donbass, which came following the West ignored providing security guarantees to Moscow, following which Western countries imposed sanctions on the Russian economy, including on the Russian Central Bank and the National Welfare Fund.
Source: Russia Today
