In a recent WIFO Research Brief Josef Baumgartner, Elisabeth Christen and Gabriel Felbermayr discusses the economic impact of an extension of EU sanctions on imports of crude oil and processed mineral oil products from Russia.

A recent WIFO Research Brief proposes economic policy options that are potentially applicable in the short term in order to minimise the economic damage of a significant reduction of the gas available in Austria. Special attention is given to not slowing down the desired green transformation.

The Austrian economy recovered quickly from the COVID-19 crisis in 2021. The growth outlook for 2022 (+3.9 percent) is 1 percentage point weaker than expected last fall due to the war in Ukraine and the omicron wave of the COVID-19 pandemic.

A good two months after the outbreak of the Ukraine war, economic uncertainty remains high. High commodity prices and renewed supply bottlenecks are burdening the global economy. Both in the USA and in the euro area, economic activity developed only moderately in the first quarter. In Austria, by contrast, strong industrial activity and catch-up effects in the service sector ensured strong growth. In April, however, overall economic growth weakened.

At a high-level Austrian-Bavarian conference on 9 May 2022, the Bavarian Industry Association (vbw – Vereinigung der Bayerischen Wirtschaft e. V.) and the Austrian Institute of Economic Research (WIFO) initiated a neighborhood dialogue on economic policy consequences of the new geopolitical order in Europe.