(MENAFN) The Bank of England on Tuesday stated that the financial viewpoint for the UK and the world has worsened meaningfully as war-motivated hikes in energy as well as additional commodity costs have exacerbated inflationary weights rising from the epidemic.
The bank cautioned that there are a number of disadvantage dangers that could impact the nation’s economic steadiness.
It stated that "Developments related to the Russian invasion of Ukraine are a key factor that will affect both the global and UK outlooks, particularly if energy and food prices rise further."
The bank also mentioned that more steady inflationary weights could cause a further severe narrowing in worldwide economic situations.
It highlighted that "Tighter conditions would increase the pressures already facing households and businesses and the serviceability of public sector debt in some countries, including in the euro area."
The bank also announced that "These pose risks to UK financial stability through economic and financial spillovers."
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