WASHINGTON: Russia's further incursions into eastern Ukraine would have serious macroeconomic consequences, destabilizing banks and crimping Ukraine's national output, the central bank governor said on Sunday.
Many of Ukraine's biggest factories and some of its agricultural production lie in the east, where pro-Russian separatists have taken up arms and occupied government buildings.
"The main risk (to the economy) has a political-occupational character," National Bank of Ukraine Governor Stepan Kubiv said in an interview on the sidelines of the IMF-World Bank meetings in Washington.
"Because if after Crimea, it will be Lugansk, Slaviansk, Donetsk, Kharkiv, and other small towns, then we immediately talk about a considerable amount of liquidity," he said, listing other towns in Ukraine.
Comments
Comments are closed.