Deep Dive: Frontier markets close to conflict are impacted

Spiralling commodities prices

Alessia Berardi, research emerging macro strategist at Amundi, dives into frontier markets

After the disruption caused by the pandemic, the global economy and markets have now turned their attention to the conflict between Russia and Ukraine. One pressing issue is the spiralling commodities prices.  As far as emerging and frontier markets are concerned, most of the negative impact will be concentrated in areas near the conflict zone and in net commodity importers.  While proximity to the conflict zone is obviously dependent on geographical distance, there are other important aspects to consider when we refer to proximity: tied commercial investments and touristic interlinks...