According to the bank’s base scenario, the conflict will end with negotiations, as a result of which Ukraine will lose some territories.
Ukraine will retain its sovereignty, army (possibly with restrictions), democratic institutions, and a course towards European integration.
It is noted that the trajectory is far from being defined, a number of factors can still change the balance and many of them to the detriment of Ukraine.
In particular, the developing conflict with Iran is causing secondary and tertiary effects, which risk diverting the attention, resources, and political capital of the West at a critical moment.
There’s a huge difference between the two. Iran is a self sufficient economy, they’re fighting on their home turf, and they have huge economic leverage over the world by controlling Hormuz. Their economy has also been under sanctions for decades and is adjusted to that.
On the other hand, Ukraine is a western proxy that’s in no way self sufficient. Their economy and military are directly dependent on support from the west. And that support is drying up. The US military production simply can’t keep up with the demands, and Europe is now suffering yet another an economic shock from the energy shortage resulting from Iran closing Hormuz.
So, while Iran can fight for a long time, Ukraine is indeed in dire straits because their sponsors are now running into the limits of what they can do for them. Not to mention the manpower crisis that Ukraine is now suffering.
There’s a huge difference between the two. Iran is a self sufficient economy, they’re fighting on their home turf, and they have huge economic leverage over the world by controlling Hormuz. Their economy has also been under sanctions for decades and is adjusted to that.
On the other hand, Ukraine is a western proxy that’s in no way self sufficient. Their economy and military are directly dependent on support from the west. And that support is drying up. The US military production simply can’t keep up with the demands, and Europe is now suffering yet another an economic shock from the energy shortage resulting from Iran closing Hormuz.
So, while Iran can fight for a long time, Ukraine is indeed in dire straits because their sponsors are now running into the limits of what they can do for them. Not to mention the manpower crisis that Ukraine is now suffering.