Have a watch of the YouTube clip. The blog below is read straigt from it. You can listen and check, listen and check.
Good morning, to you all. Good morning to Friday also. It's my favourite day of the working week. Not like that Monday.
Let's look at the Ukraine Word list, and the Vocab YouTube clip to refresh your vocab memory.
Given the situation in Russia at the moment, is it time for them to make up with Ukraine.
What's happening in Russia now? Let's have a look, with the help of CNBC.
a) Economic sanctions put on them by the west for going into Ukraine are hurting them
b) The price of oil has gone way down. Nice for us, but bad for Russia as they export a lot
c) The Russian currency - the rouble - has dived. More expensive to buy stuff from overseas
d) Russians are moving their money overseas. The government offered 17% interest to try and stem the flow, but it didn't help
3) Russia has $US30 billion of debt to pay this year, and $US150 billion of debt to pay next year.
What can we take from this? Economic sanctions have worked well. Too well it seems. Price of oil dropping is nice for us. Unfortunately the Yen dropping has undone a lot of that. Governments can't control the flow of money as much as they want. Seriously, who has the kind of money to lend $180 billion to Russia? If they can't pay there bills, who can?
That's Russia done. Onto the Ukraine. The Kiev Post has a fairly depressing story for you if you are living in the Ukraine. The economy is desperate for cash. There is 21% inflation. Without any cash I don't understand that personally I thought inflation came from people having too much cash? Big industries in Ukraine like steel and crops are down. Well crops are up, but prices are down, so less revenue.
Big companies like Chevron are bailing out of Ukraine. Chevron waved goodbye to a deal to build a big shale gas plant. Less inflow of money into an economy already starved of cash.
The banks are going bust. Banks need cash like we need oxygen. They die without it.
If that isn't bad enough, Ukraine's coal power plants which produce 42% of the country's energy need 3.2 million tonnes of coal a month to run. Ukraine's reserves stand at 1.4 million tonnes. They usually get it elsewhere, but can't due to the war.
Have a good weekend.