The ongoing Russian invasion of Ukraine is most likely to have multiplier effects on Nepal, which is predominantly an importing economy.
Possibly, the most significant and direct impact of the invasion will be on gas and oil prices in which Nepal is completely dependent on other countries, resulting in rising inflation.
The price of petroleum products has been rising in the international markets and its impact has already been felt in the Nepali markets as well. The country’s biggest import is petroleum products. Its value will now increase automatically.
