OREANDA-NEWS An embargo on Russian oil and gas imports would lead to more severe consequences for Europe's economy, which has not yet recovered from the coronavirus pandemic. It was reported by CNBC TV channel, citing the forecasts of experts.

It is noted that GDP growth in Germany this year will be 2.7%, while initially the forecast was at 4.8%.

Academic Director of the Institute for World Economy in Kiel Stefan Kuts is sure that Germany will face a sharp recession. In case of refusal of Russian energy carriers, German economy in 2022 and further years will lose about €220 billion, which is more than 6.5% of annual production.

The expert called on Europe to think before giving up on Russian oil and gas, as it may affect families with small incomes. At the same time, Germany's central bank will have to tame record inflation.

According to Eurostat, the inflation rate in March 2022 will reach 7.5%, while German institutes forecast a record 6.1% for the last 40 years.

However, if Russian energy supplies are interrupted, inflation will soar to 7.5% this year, a record for the entire post-war period, experts say.