The International Monetary Fund said that the economic consequences of the Ukrainian crisis are very serious, amid an uncertain future and a state of political and military uncertainty.
The fund said - in a statement late Saturday - that the first consequence of the Ukrainian crisis was a surge in energy and commodity prices, including wheat and other grains, which increased inflationary pressures.
The price shock will have an impact on the entire world, according to the fund, and especially on poor families, whose spending on food and fuel is a large proportion.
He believed that the escalation of the conflict during the coming period means that the economic damage will be more devastating, and the sanctions imposed on Russia will have a serious impact on the global economy and global financial markets.
The war in Ukraine continues with its repercussions, claiming lives, in addition to inflicting heavy losses on physical infrastructure, in parallel with a wave of refugees numbering more than a million Ukrainian refugees to neighboring countries.
The IMF said that the current crisis has created an opposite shock to inflation and economic activity, amid already high price pressures, and monetary authorities will have to carefully monitor the impact of higher international prices on domestic inflation.
On the other hand, fiscal policy will have to support the most vulnerable households, to help offset the continuing increase in the cost of living.
The statement added that the economic losses in Ukraine are already huge, as ports and airports are closed due to the damage caused to them, and many roads have either been damaged or destroyed.
While it is very difficult to estimate the exact financing needs at the current stage, it is already clear that Ukraine will incur a heavy cost for recovery and reconstruction, according to the statement.
Ukraine has requested $1.4 billion in emergency financing from the IMF under the Rapid Financing Instrument.
Fund experts expect to submit the request to the Executive Board for consideration early next week.
And the recently announced sanctions against the Russian Central Bank will lead to severe restrictions on its access to international reserves to support its currency and financial system.
International sanctions on the Russian banking system and the exclusion of a number of banks from the Swift network have significantly limited Russia's ability to receive payments for its exports and pay for its imports.