Russia–Ukraine war and systemic risk: Who is taking the heat?

Qureshi, Anum; Rizwan, Muhammad Suhail; Ahmad, Ghufran; Ashraf, Dawood

Abstract

The Russia–Ukraine conflict has increased systemic vulnerabilities of the global financial system. We develop a database of news events and investigate the systemic risk implications of the conflict on Russia, Ukraine, France, Germany, Italy, the UK, the USA, and China. Results show that systemic instability costs of the conflict go beyond Russia and Ukraine. Sanctions cause systemic risk spillovers to European countries and the USA. Study findings caution against the accumulation of systemic risk as sanctions may adversely affect the rest of the world aside from the main target - Russia.

Citation

Qureshi, A., Rizwan, M. S., Ahmad, G., & Ashraf, D. (2022). Russia–Ukraine war and systemic risk: Who is taking the heat?. Finance Research Letters, 48, Article 103036. https://doi.org/10.1016/j.frl.2022.103036

• Journal Article Type: Article
• Acceptance Date: Jun 1, 2022
• Online Publication Date: Jun 2, 2022
• Publication Date: Aug 1, 2022
• Deposit Date: Apr 23, 2025
• Journal: Finance Research Letters
• Print ISSN: 1544-6123
• Electronic ISSN: 1544-6131
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 48
• Article Number: 103036
• DOI: https://doi.org/10.1016/j.frl.2022.103036
• Public URL: https://durham-repository.worktribe.com/output/3797207