The Citigroup CEO said he was confident that the Ukraine war and energy crisis would plunge Europe into recession.

  • Citigroup CEO Jane Fraser is convinced that Europe is heading towards a recession.
  • She said Ukraine’s energy crisis and war would lead to an economic downturn.
  • Fraser was speaking at the World Economic Forum in Davos this week.

Citigroup CEO Jane Fraser said the Ukrainian war and the resulting energy crisis are now in Europe.



Fraser said Davos World Economic Forum The Russian threat, soaring energy prices and supply chain disruptions make an economic downturn almost inevitable.

“Now there are three ‘R’ words – Russia, recession, and interest rates” She said. “Europe is in the midst of supply chain storms, energy crisis and proximity to the atrocities that are taking place in Ukraine.”

Energy prices skyrocketed as the Russian invasion of Ukraine caused oil prices to exceed $110 a barrel. Central European countries like Germany seem particularly vulnerable to rising oil prices, as they depend on Russian oil exports.

The European Central Bank also said it will start raising rates this week to keep inflation under control. This will curb economic growth and affect stock market indices such as France’s CAC 40 and Germany’s DAX 40.

Fraser, Promoted to Citi CEO in September 2020CNBC’s Geoff Cutmore asked if Europe was heading for a recession.

“Yes, I hope I’m wrong,” she replied.

Before “cruel winter“This is currently ruining the stock market,” he said, “and likely proves that the US is more resilient to recessions than Europe.”

“In America, rates are much more important. [than recessions] Because she is resilient to the economy. “Consumers have 3.4 trillion dollars in deposits, so there is a buffer there.”

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