Business Desk, AnyTV, New Delhi
Published by: Deepak Chaturvedi
Updated Thu, 03 Mar 2022 06:07 PM IST
Summary
Russia-Ukraine War Latest Update: Since the decision to attack Ukraine, economic sanctions are being imposed on Russia one after the other. From tech to automobile companies, have stopped their operations in the country. Apart from this, many banks including SBI-HSBC have also announced to stop services.
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Expansion
Ikea’s 15,000 workers affected
Significantly, on Thursday, Ikea announced the closure of its operations in Russia. After this announcement of the company, about 15000 employees will be affected i.e. their job will be lost. Let us tell you that this big step has been taken by Ikea after Apple and Nike. Earlier, American tech giant and the world’s most valuable company Apple took a big step and banned the sale of all its products in Russia. Apple stressed that the company is with all those who have been victims of violence. Footwear maker Nike has also banned the sale of its products.
Google-Microsoft banned
On the one hand, while Western countries are continuously imposing economic sanctions on Russia, on the other hand, from tech to automobile companies, it has given a strong blow. Not only Apple, Nike and Ikea, but many big tech companies have made big announcements against the war. Alphabet’s Google blocked mobile apps linked to Russian broadcasters RT and Sputnik, while Microsoft removed apps from Russian state media company RT from the Windows App Store. Nokia has also banned its supplies to Russia against the attack on Ukraine.
Automobile sector edged out
Not only tech companies, but the automobile sector has also taken a strong stand against Russian President Vladimir Putin’s decision to attack Ukraine. Due to this Volvo Cars in Russia has stopped sending its cars to the Russian market. Jaguar Land Rover has also taken the same step. Mercedes also went a step ahead and said it would end its partnership with the Russian truck maker. Apart from this, Ford Motors has announced to close all its operations in Russia till further notice. Apart from these companies, many companies including auto giants BMW, Aston Martin, General Motors have taken similar steps.
bad condition of banking services
On Wednesday, the European Union pulled seven Russian banks out of SWIFT. So in the war with Ukraine, India has also stopped business in Russia. State Bank of India (SBI), India’s largest lender in Russia, and the mid-sized public sector bank Canara Bank is the only JV. Its name is ‘Commercial Indo Bank LLC’. In this SBI holds 60 per cent, while Canara Bank holds 40 per cent. SBI has made it clear that it will not conduct any transaction with Russian entities that have come under international sanctions. Along with this, international bank HSBC has also said that it is ending its business relationship with Russian banks.
Russia’s sovereign rating downgraded
Major rating agencies Fitch and Moody’s have downgraded the sovereign rating for Russia, which is hit by economic sanctions. Along with this, Moody’s has also downgraded Russia’s rating saying that the situation arising out of the war is weakening the Russian economy. Rating agencies said sanctions from Western countries have raised doubts about Russia’s ability to deal with the debt situation. There is turmoil in the markets and the Russian currency has collapsed.