It is really interesting that the world is learning that Russia and Ukraine do actually contribute so much to this world. With these countries cut-out due to sanctions or conflict, we’re learning that it is not just those with the big media that are powering the world economy.
The Igbo Nation captured it clearly: the ant-hills are not built by the elephants but by collective efforts of the little neglected ants. Indeed, everyone is contributing something in this world despite what the global media networks will tell you. So, we need to push for the rise of all, not just a few because everyone has a role in this world.
The EU is having real changes due to this conflict: “The European Central Bank (ECB) plans to raise interest rates from historic lows in order to counter record high inflation fueled by the war in Ukraine. ECB kept rates unchanged in today’s meeting but confirmed plans to hike rates when it next meets in July. It said today it is looking at a 0.25% increase next month.”
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“The Governing Council intends to raise the key ECB interest rates by 25 basis points at its July monetary policy meeting. In the meantime, the Governing Council decided to leave the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility unchanged at 0.00%, 0.25% and -0.50% respectively. Looking further ahead, the Governing Council expects to raise the key ECB interest rates again in September,” ECB said in an announcement Thursday adding that “beyond September, based on its current assessment, the Governing Council anticipates that a gradual but sustained path of further increases in interest rates will be appropriate.”
Indeed, if Russia and Ukraine conflict can trigger global recession, that is a clear validation that they have real and evidential impacts (energy supplies, food supplies, etc) on the world economy. Even my dear Nigeria does contribute something. We just need to reject some of these global postulations that “others” offer nothing of value!
As the Russia-Ukraine war enters its fourth month, the impact has continued to be felt around the world as economies battle to tame inflation emanating from it.
Food shortage and high cost of oil prices have characterized the global economy since Russia invaded Ukraine on February 24 2022. Now the war is widening its impact on economies that the fear of global recession can no longer be excused.
On Tuesday, the World Bank slashed its global growth forecast by nearly a third to 2.9% for 2022, warning that Russia’s invasion of Ukraine has compounded the damage from the COVID-19 pandemic, and many countries now face recession.
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As long as we keep calling people who cannot manage their own individual lives ‘world leaders’, expect more surprises.
We have an interesting scenario, which our obviously confused leaders didn’t correctly predict, and neither do they know where to go from here; maybe some miracles will need to happen.
Putin and Russia cannot back down and leave Ukraine, because that would look like a defeat, and no one enjoys being humiliated.
Zelensky and Ukraine cannot surrender, because it means that they just wasted everyone’s time, allowed their cities and economy to be destroyed, only for them to surrender.
The guys hammering sanctions on Russia cannot stop, because it will portray them as being weak, ineffective and immoral; so as they contemplate more sanctions they also need to ratchet up weapons supply to Ukraine, to keep things going.
Who did the scenario modelling and were convinced that the world was ready for all the confusions? We thought that real economies are measured by capital markets and GDP size, now you know that the things are not that straightforward, only that we never learn.
This is just Russia, and we are shaking like this, what happens if China goes to war and sanctions are hammered? It’s rest in peace then.
World Bank Warns of Global Recession, Slashes 2022 Economy Growth Forecast to 2.9%
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