Inflation Set to Soar
The latest developments of the Russo-Ukrainian war have a direct impact on global supply chain disruptions. In the short term, these conditions will mainly lead to an increase in energy and food prices.
Firefighters try to extinguish a burning car after a Russian attack in Kyiv, Ukraine, Monday, Oct. 10, 2022. Russia unleashed a lethal barrage of strikes against multiple Ukrainian cities Monday, smashing civilian targets including downtown Kyiv where at least six people were killed amid burnt-out cars and shattered buildings. The onslaught brought back into focus the grim reality of war after months of easing tensions in the capital.
JAKARTA, KOMPAS - The Russo-Ukrainian war has entered a new phase, one that is increasingly escalating. Ongoing disruptions in the global supply chain will only intensify. As a result, energy and food prices are expected to skyrocket. Eventually, inflation will soar.
“The escalation of the Russo-Ukrainian war is by no means a surprise. Many experts predict that the war will continue to escalate and has not yet peaked,” said economist Agustinus Prasetyantoko, who is also a rector of Atma Jaya Catholic University, in Jakarta on Tuesday (11/10/2022).