24 February, Thursday: Russia’s President Putin has ordered military action in Ukraine today which has raised concerns for every other country in the world. Putin said that if Ukraine does not back down, there will be war.
He threatened the Ukrainian army to lay down arms as soon as possible; otherwise, the war could not be avoided. Putin further said that if any other country comes in the middle, then there will be retaliation against it too.
Though its Volodymyr Vs Vladimir, but the whole world is in tension. Russia’s aggressive attitude to stop Ukraine at any cost and Ukraine’s determination to not step back will cause both direct and indirect consequences on US, India, and other parts of the world. Here’s how.
Effect of Russia-Ukraine War On The World
Russia and Ukraine are not in the tension alone; this conflict has and will put so much on the stake. Consequences have started being visible.
via:deccanherald
1. Effect On Stock Market
On Thursday morning, the Sensex faced a huge crash of 2000 points after Russia announced military operation. The announcement alone dragged Nifty below 16,600 points.
2. Oil Prices Reach Highest Ever
Not just stock market, prices of oil rose higher than ever. It reached $100 per barrel after the possibility of Russia invading Ukraine became stronger. It is because Russia is a leading producer of oil and the total production is 10.50 million barrels per day.
This will severely impact India as it rely heavily on oil imports for energy needs. It means all the crude-oil related products will have a sharp increase in price as well. Another major dependence of India is sunflower oil that is majorly imported by Ukraine. It provides 70 percent of sunflower oil to our country and the war scenario will multifold the price.
3. Wheat War
Russia and Ukraine, both are leading producers and exporters of wheat which will put, if not huge but atleast a little, impact on US. As a result, the country will face temporarily increase in prices of raw materials and finished goods. It will also affect Indian economy.
4. Natural Gas Dependency
European countries such as Czech Republic and Latvia are 100% dependent on Russia for the natural gas. Countries like Italy, France, Germany and Sweden are having the same situation. But dependency of Germany on Russia is too big for natural gas. If war takes worse form, Germany would be at the biggest loss as it gets 1/3rd supply from Russia via pipelines in Ukraine.
Russia is a bit on advantageous side as it can put pressure on Europe by cutting off the gas supply. But that will not be too easy as this decision will also impact Russia’s economy, but only for a shorter period.
So, Russia Ukraine conflict is not going to be limited to these two countries. The world will face a massive consequence as well. However, President Putin call it not an invasion or war but an action to protect Ukraine.
Russia Ukraine War Is “To Protect Ukrainians, Not To Occupy Territory”
via:reuters
This aggressive attitude is masked by words of Putin and Vassily Nebenzia’s (Russia’s permanent representative at UN). He said, we aim to demilitarize and remove Nazi influence from Ukraine and does not want to occupy its territory.
Ukrainians have been suffering for years and now is the time to make them free. “We aim to de-genocide Ukraine,” Vassily said that these decisions are made in regard with Article 51 of UN charter. They will analyze the entire situation.
Russia Will Be Responsible For Human Suffering, Says Biden
via:businesstoday
UN secretary-general Antonia Guterres does not feel same about Russia’s intention of invading Ukraine. He appealed Putin to take back their troops from the border of Ukraine and stop the conflict in name of humanity. US President Joe Biden also condemned Russia for its military operation in Ukraine.
Biden called it as an unprovoked and unjustified attack which will cause disastrous loss of life. He also said that Russia is and will solely responsible for this catastrophic loss.