But the conflict will have consequences for the whole world as it cuts off crucial energy and crop supplies, disrupts businesses and upsets financial markets, already under stress as central banks tighten policy.
“Like some international peers and in line with our legal and regulatory obligations, we are in the process of winding down our remaining business in Russia while we help our non-Russian multinational clients in reducing their operations,” the bank said today.Article contentWhat a wild week oil has had. It started out spiking to the US$130s, the highest since 2008, and ended posting the steepest weekly decline since November.
FAO Director-General Qu Dongyu said production disruptions are “likely” in the region. And any steep drop-off in exports will threaten to “seriously escalate food insecurity globally” at a time when the price of grain, oilseeds, fuel and fertilizer are already surging. Global prices for wheat and barley already jumped 31 per cent in 2021, he said in a statement on Friday, urging grain-growing nations to resist the urge to protect domestic supply by banning exports.
The world’s top wheat importers — including Egypt, Turkey and Iran — would be forced to look elsewhere to replace Russian and Ukrainian products, driving up the price and making it even harder for developing countries to secure shipments. Some of the countries most dependent on Ukrainian and Russian grains are already facing food insecurity, including Yemen and Libya, according to the FAO.