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What is Russia-Ukraine Issue | Ukraine Russia Conflict

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Xanara
What is Russia-Ukraine Issue | Ukraine Russia Conflict

Tensions between Russia and Ukraine is at its peak. The war between Ukraine and Russia have kept investors on the edge in the past few days. The Russia-Ukraine issue is adding to the short-term uncertainty in the markets with oil prices reaching above $100 after 8 years. On whole. the rising energy prices and a supply shock with regard to other commodities will send the inflation even higher in the short term. Russia is a major exporter of crude oil, accounting for about 12% of the world’s supply. U.S. imports approximately 7% of its daily crude and other petroleum products from Russia.


To start with we need to know “What is the Russia-Ukraine Issue”?

  • 1991 – Ukraine became independent as USSR broke up. It was a part of the Russian empire for centuries before becoming the Soviet Republic.
  • 2014 – Ukrainian President rejected an association agreement with the European Union in favor of closer ties with Moscow. This led to mass protests and Russia responded by annexing Ukraine’s Crimean Peninsula and throwing its weight behind a separatist insurgency that broke out in Ukraine’s East.
  • 2015 – A peace agreement brokered by France and Germany helped to end large-scale battles but failed to reach a political settlement.
  • Current – Russia accused Ukraine of failing to honor the 2015 deal. Russia had troops deployed on the borders since 2021. The issue got escalated with Putin ordering troops into two pro-Russian, breakaway regions in Eastern Ukraine on the 21st of this month. In response, U.S. and allies announced sanctions on Russia. On Thursday Russia launched a military offensive against Ukraine. Ukrainian capital Kyiv and other cities were hit by airstrikes and Russian troops crossed the borders in several parts of the country.


You can read our article to get more detailed information.

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