The International Monetary Fund has said that the global economic repercussions from the recent Ukraine crisis will be very serious if the conflict intensifies and escalates further than it is now.
The Fund confirmed in a report issued yesterday, Saturday, that the sanctions it has imposed on Russia so far will have a fundamental impact on the global economy and financial markets, with side effects on other countries. .
The significant rise in the prices of energy and raw materials in general, as the price of a barrel of oil approaches $120, increases the inflationary trend that the world has begun to witness as it recovers from the economic repercussions Corona Pandemic (Covid-19).
The increase in prices will have impacts around the world, particularly on low-income families who dedicate more than their budget to food and energy than average, the fund noted.
As for Ukraine, it became clear that it would have to face important costs associated with restarting its economy and rebuilding destroyed or damaged buildings.
The Fund indicated that the emergency financial assistance requested by Ukraine, which was reported to the International Monetary Fund on February 25, amounted to $1.4 billion.
The IMF stressed that countries with close ties to Ukraine and Russia are particularly at risk of shortages and supply problems.
