As the Russia-Ukraine conflict unfolds and completes a month, Vietnam Briefing looks at the impact of the conflict on Vietnam as well as businesses in the country. While it’s still early to determine long-term effects, we examine the short-term effects that will play a key role in how the economy moves forward.
The Russia-Ukraine conflict which began on February 24, sent shockwaves to global markets and led to an unprecedented response from countries around the world in the form of economic sanctions and other restrictive measures. In doing so, western countries and allies are sending a clear signal that they want to cut off Russia from the global financial system and isolate Putin politically.
While analysts state the impact of the Russia-Ukraine conflict is likely to have limited direct consequences on Vietnam, the fallout of the conflict is likely to have significant consequences on trade and businesses in Vietnam. From disrupting trade and global supply chains to causing tensions geopolitically, we discuss the impact that is likely to be felt by businesses operating in Vietnam.
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