The leaders of World Bank and IMF They pointed out yesterday that they are ready to help Ukraine and warned that the invasion of Russia will have repercussions in the global economic recovery.
The director of the IMF, Kristalina Georgievsaid to be "deeply concerned" for the consequences of the fighting in Ukraine and warned in a tweet that the conflict "adds significant economic risk to the region and the world".
The International Monetary Fund is assessing the economic impact, but "will be ready to support our members when needed"said.
The Washington-based institution is in the process of disbursing $2.2 billion in assistance to Ukraine under a loan program that will end in June.
Georgieva said the fund could provide aid to other countries affected by the conflict, should it be needed.
The president of the World Bank (WB), David Malpass, indicated that he is "deeply saddened and horrified by the devastating events in Ukrainewhich will have a far-reaching economic and social impact".
The institution "is preparing options for great support to the people of Ukraine and the region, including immediate budget support"Malpass tweeted.
Russia’s invasion of Ukraine this Thursday has sent oil prices skyrocketing to its highest level since 2014, adding to worrying global inflationary pressures.
in January, The IMF cut its global GDP forecast for 2022 to 4.4%half a point less than its previous estimate for October, due to the "impediments" caused by the latest wave of covid-19.
US President Joe Biden announced tough new sanctions against Moscow on Thursday, including freezing assets of major Russian banks and suspending high-tech exports to the country, in coordination with Europe.
russian strategy
However, analysts point out that Moscow has prepared for years to resist such sanctions accumulating a war reserve fund of cash and gold, and has very low debt.
"It is not a coincidence. I think it is a very important part of what we call the strength of the Russian strategy."said Elina Ribakova of the Institute of International Finance, a global banking association.
"It was a very deliberate change in macroeconomic policy to suit geopolitical ambitions"he told AFP. "They have a piggy bank that can protect them".
The conflict could also change the pace at which the Federal Reserve will take action to combat inflation in the United States.said Thursday an official of the Federal Reserve (Fed).
The Fed next month is expected to raise rates for the first time since Covid-19 broke out, but it may have to act more aggressively if the Ukraine crisis disrupts commodities and pushes prices higher.
Loretta Mester, president of the central bank’s regional office in Cleveland, said the central bank will monitor the conflict’s impact on the world’s largest economy.
"The implications of the evolving situation in Ukraine for the US medium-term economic outlook will also be taken into account in determining the appropriate pace at which to withdraw support."he said in a speech.