Chief Executive of the Ghana Investment and Promotion Centre (GIPC), Yofi Grant, has described the Russian-Ukrainian crisis as a worrying development for the global economy and Ghana’s as well.

According to him, even though Russia and Ukraine are not major players in the country’s investment space, the ripple effect of the crisis could adversely affect not only the global economy but Ghana’s as well.

He noted that with Russia and Ukraine being significant players in the global oil market, a full-blown war could be disastrous for the economy as the price of oil on the international market will see a huge hike.

The hike in the price of oil he mentioned could have devastating effects on the Ghanaian economy as the government will not be able to absorb the margins that will result from such a hike.

This would directly translate to the rise in prices of goods and services in the country.

Speaking on JoyNews’ PM Express Business Edition, he said, “The attack by Russia is serious and it raises many concerns especially for the global economy, especially since Ukraine is an oil-producing company. And as you have noticed, the oil prices have jumped up above a hundred dollars. So it’s a worrying situation.

“Well in the investment space I wouldn’t say either Russia or Ukraine is a major player in our country. They have in the past, there are investors that have come in but they’re not the major ones. But that notwithstanding it’s still worrying because, you know, there might be areas which they might have interests which could help our economy grow so once there’s such a development and because of that, the doors are shut we should be worried.

“But the worry is more on the global economy than us and once things like that happen like the oil prices have gone up, it has an impact on us. For us it’s a double-edged sword, we’re an exporter and the price of consumption of petrol on the market will go up because oil prices have gone up  and I’m not sure government can keep subsidizing and taking the big price hikes over a barrel of oil and subsidizing it for petrol so it’s a worrying development,” he said.

He touted the potential of a more integrated African market to offset some of these unforeseeable challenges in the near future.

According to him, with African markets more integrated under the African Free Trade Continental Agreement, the consequences of such global crisis would not have devastating effects on African economies as this conflict may should it escalate any further.