The outlook for the Russian economy is “dire”, according to one analyst, as the impact of western sanctions on Vladimir Putin’s regime began to be felt.
The rouble crashed more than 40% in value in early trading on Monday, slumping from 83.7 to the US dollar to 119.
A tough day looks in store for the Central Bank of Russia which has had its assets frozen as part of the sanctions and will be limited in how much it can support the currency.
“The situation is dire for the Russian economy,” said Christopher Vecchio, senior strategist with IG Group’s DailyFX.com in New York.
“Now unable to import or export goods and services thanks to the Swift sanctions, unable to sell foreign currency reserves thanks to the [central bank] asset freeze, and a Russian economy ringfenced from the global financial system, a currency crisis has emerged for Russia. High inflation is coming, as is an immediate lurch into recession.”
Other market moves include a 5% jump in Brent crude oil and a more losses on Asian stock markets where Putin’s raising of the nuclear threat has spooked investors.
Last Updated: 04:57 Monday, 28 February 2022
10m ago
Here’s a look at how the crisis is playing out in some of the world’s media:
Tomorrow’s @nytimes front page. Another double stacked six-column head and 4 Ukraine stories. pic.twitter.com/CRxqIifGWX
— carolynryan 🏳️🌈🏓 (@carolynryan) February 28, 2022
Last Updated: 04:52 Monday, 28 February 2022
16m ago
Over 90% of Ukrainians have said they support president Volodymyr
Zelenskiy, according to a poll conducted by the Rating Sociological group this weekend.
According to the data compiled from two thousand respondents from across Ukraine, 91% of respondents backed Zelenskiy, only 6% said they did not support him and 3% remained undecided.
The support is a threefold increase from December last year.
Residents in Crimea and the rebel-held areas in eastern Ukraine were excluded from the survey, according to the BBC.
When asked about the chances of Ukraine being able to repel the Russian assault, 70% said they believed it was possible.
Last Updated: 04:47 Monday, 28 February 2022
29m ago
Canada has said Aeroflot Flight 111 violated its airspace closure for Russian flights
Transport Canada said they are aware that Aeroflot flight 111 “violated the prohibition put in place earlier today on Russian flights using Canadian airspace” and would be “launching a review” of the conduct of the aircraft and the independent air navigation service provider, NAVCAN.
“We will not hesitate to take appropriate enforcement action and other measures to prevent future violations,” the agency said.
Last Updated: 04:38 Monday, 28 February 2022
46m ago
Japanese chief cabinet secretary Hirokazu Matsuno said on Monday that Japan was asked to join in measures blocking Russia from Swift by western nations and was working with them to make the measures effective, Reuters reports.
He said Japan will continue to cooperate with other nations, including the G7, but declined to comment when asked about sanctions on the Russian central bank.
Last Updated: 04:17 Monday, 28 February 2022
1h ago
US president Joe Biden is set to host a call with western allies and partners on Monday at 11.15am ET (4.15pm GMT) to discuss developments regarding Russia’s attack on Ukraine and to coordinate united response, the White House has said in a statement.
Last Updated: 04:05 Monday, 28 February 2022
1h ago
A missile has reportedly hit a residential building in the centre of Chernihiv, causing a fire to break out, Ukraine’s state service of special communications is reporting.
Chernihiv is about 150km north-east of Kyiv.
“A rocket hit a residential building in the centre of Chernihiv. A fire broke out, two lower floors are on fire. The number of injured is currently unknown,” the agency said in a brief statementon the Telegram messaging app.
The development follows reports from the Kyiv Independent newspaper of an air raid alert that sounded in the city about4.30am local time with residents being urged to head to the nearest shelter.
Last Updated: 03:58 Monday, 28 February 2022
1h ago
Zelenskiy says next 24 hours ‘crucial period’ in call to Johnson
In his call with Ukrainian president Volodymyr Zelenskiy, British prime minister Boris Johnson said the UK would not only continue to supply defensive weapons to Ukraine but would assist other countries in doing so as well.
According to a recently released statement, a No 10 spokesman said:
PRESIDENT ZELENSKIY SAID HE BELIEVED THE NEXT 24 HOURS WAS A CRUCIAL PERIOD FOR UKRAINE, AND THE PRIME MINISTER SAID HE WOULD DO ALL HE COULD TO HELP ENSURE DEFENSIVE AID FROM THE UK AND ALLIES REACHED UKRAINE.”
The call follows a donors conference on Friday where defence secretary Ben Wallace said Britain would deal with the logistics of getting equipment into a war zone.
The UK has also said it will send £40m more in aid to provide vital medical supplies and assistance to Ukraine, widening economic and military support to bolster the Ukrainian resistance to the Russian invasion.
Last Updated: 03:49 Monday, 28 February 2022
2h ago
Blasts are being heard in the Ukrainian capital of Kyiv and in the major city of Kharkiv on Monday morning, Ukraine’s state service of special communications has said.
Kyiv had been quiet for a few hours prior to that, it said in a brief statement on the Telegram messaging app.
https://twitter.com/ZelenskyyUa/status/1498076908860456964?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1498076908860456964%7Ctwgr%5E%7Ctwcon%5Es1_&ref_url=file%3A%2F%2F%2Fprivate%2Fvar%2Fcontainers%2FBundle%2FApplication%2FBFC773AA-9291-41C8-98CB-FF3811FE5FD7%2FGLA.app%2FArticleTemplates%2F
