THE IMPACT OF RUSSIA-UKRAINE WAR ON THE INTERNATIONAL ECONOMIC AND FINANCIAL RELATIONS

Abstract

Based on the analysis of current publications, statistical reports of international financial institutions, as well as reports of the National Bank of Ukraine, the consequences of the Russian-Ukrainian war on the development of international financial and economic relations have been identified and investigated. The authors of the article can state that although Ukraine has remained in the scope of international reporters’ investigation and study, more academic attention has been drawn to political and further historic consequences of the war. The economic outcomes and their impact on further financial perspectives and the nature of international economic relations require more detailed analysis and justification. The prospects for development and changes in the interaction of the Eurozone countries, the impact of the consequences of the war on the development of the European financial system have been clarified. The authors of the article have come to the conclusion that owing to macro prudent economic and financial policies undertaken and carried out by European countries in tandem with IMF and the World Bank Group the drastic and completely disruptive consequences of the war on the European financial corporate landscape have been minimized and smoothed out. It has become obvious that any global war conflicts are inherently supposed to create systemic risks for the global banking sector, and, consequently, the international financial institutions are to be completely prepared to withstand negative sides of global interdependencies. The ongoing war between Russia and Ukraine has exposed all the drawbacks of financial and economic interdependence. In the article the necessity of reconsidering logistic supply channels have been investigated. The financial stability reports have been analyzed and the directions of stabilization of the financial sector of Ukraine have been pointed out. Factors contributing to a certain stabilization and minimization of systemic risks for the financial system of Ukraine are singled out, strategic directions for further interaction of the domestic banking sector with international financial institutions are underpinned. The critical issues that are supposed to be resolved by the world community in order to overcome the negative consequences caused by Russia's military aggression against Ukraine are indicated.