Germany's exports hit by Russia's war on Ukraine

ISTANBUL

German exporters' confidence decreased dramatically amid the Russia-Ukraine war, a Munich-based research institute said on Monday.

The ifo Institute for Economic Research said its export expectations slipped to minus 2.3 points in March on a monthly basis, from 17 points in February.

"To date, the only other time the index suffered a steeper decline was at the beginning of the coronavirus crisis in April 2020 (minus 31.2 points)," it added.

Companies, it said, are more pessimistic for the coming six months, especially firms who have economic relations with Russia.

While export expectations fell for all manufacturing industries, "car manufacturers and their suppliers suffered a significant setback and are expecting exports to decline," the institute said.

The Russia-Ukraine war, which began on Feb. 24, has met international outrage, with the EU, US and UK, among others, implementing tough financial sanctions on Moscow.

At least 1,119 civilians have been killed in Ukraine and 1,790 injured, according to UN estimates, with true figures likely far higher.

More than 3.82 million Ukrainians have also fled to neighboring countries, with millions more displaced inside the country, according to the UN refugee agency.