Too big to fail

The global fallout of the conflict in Ukraine is having wide repercussions on the economies of both developed and developing countries, exposing unaddressed vulnerabilities and putting fiscal policies under increasing strains. Non-oil producing countries in Middle East and North Africa (MENA) have been particularly affected by the economic downturn, aggravated by the external shocks of the past few years, which include the COVID-19 pandemic and the disruption of global supply chain. Lockdown policies adopted worldwide went along with incidents that had a huge impact on global trade. Interestingly, less than two years after the Ever Given container ship got stuck in the Suez Canal blocking the passage for 6 days, all eyes are on Egypt again as its economic crisis and worsening financial situation can potentially have repercussions on a wider scale….

- Umberto Profazio (Project Fellow, NATO & its Adversaries) for NATO Defense College Foundation.