Bank of England governor joins walkout from IMF meeting over Russia's presence

what happened

Bank of England Governor Andrew Bailey took part in a walkout by finance leaders who left an IMF meeting in Bangkok in protest at Russian involvement. The Bank confirmed Bailey's participation. The Bundesbank's president, Joachim Nagel, said nearly half of all delegates left together when Russian Finance Minister Anton Siluanov began speaking in Russian.

A European diplomat told Reuters that the war in Ukraine is existential for Europe and that relations with Russia cannot be normalised. The IMF steering committee chair, Saudi finance minister Mohammed al-Jadaan, acknowledged the episode and said all members backed the chair statement. Reuters also reported that the US supports Russia's presence in such forums.

According to al-Jadaan's statement, the global economy has absorbed a series of shocks better than expected, but buffers have weakened and resilience cannot be assumed. He warned that public debt and high bond yields leave no room for complacency.

why it matters

For markets, the warnings matter most: escalating conflicts and trade tensions could disrupt key trade routes, push up commodity prices, including refined energy products, and worsen energy and food security. The split between European countries and the US over Russia also adds political uncertainty.

market impact

Oil and energy markets: supply-route and refined product price risks; euro-area bonds and EUR: higher geopolitical uncertainty

tags

instruments