Rizwan Baloch
Russia invaded Ukraine to prevent the expansionist policy of The US because Russia fears Ukraine might join NATO ,and it turned into an expansionist. Russia’s assault on Ukraine is condemnable from which hundreds of people have embraced death and have been displaced. Putin claims Ukraine is the historic possession of Russia which has been detached from Soviet Union’s aftermath of its alleviation. However, the United States along with all other Western countries has condemned the unforeseen invasion of Russia on Ukraine and has aimed economic sections at Russia to deter and avert ongoing war. Due to the aggrandizing aggression not only Russia is confronting its consequences with its people but the whole world is suffering economically. Russia and Ukraine got a massive and significant role in the production of products like wheat other raw materials and reverse of natural resources gas and oil from which not only western countries import commodities, others also import too respectively. Specifically, developing countries are adversely affected from Ukraine crisis. For the majority of instances, this does not only influence the prices of oil, gas, and other commodities that are being exported or imported. Also, it has negatively affected the purchasing power of people whose lives have before been shattered in a country like Pakistan due to high inflation and dwindling economy after the emergence of the pandemic Covid19. A constantly depreciating currency and declining foreign reserves. In the middle of the economic downturn, political uncertainty has deteriorated the circumstances in the country. According to data, from 1960 to 2020 political instability had an intricate adverse influence on prices as well as the economy of Pakistan. The aggrandizing indebtedness of government is to some extent linked with prices that have surged due to exogenous factors like the ongoing Russia and Ukraine crisis and political instability that have led to escalating the government debt because of political turmoil economic growth stagnates which eventually increases the dependency of the economy on debt. Investors rather than investing domestically would find a suitable economy for the investment. Ultimately, the capital outflow will increase and the capital inflow would go down. The capital outflows have an adverse affect on foreign reverses that are falling continuously. Last but not least, monetary policy is an efficient and effective way to sort out inflationary pressures but it becomes ineffective when fiscal policy dominates monetary policy, the monetary policy as result loses its control. In the end, it is monetary policy that forestalls inflation using monetary instruments. For the betterment of the economy, an instantaneous measure is required.
