Geopolitical and economic factors have always been intertwined, influencing each other. The escalating instability on the geopolitical front can be the biggest risk factor for the global economy these days, says Jamie Dimon, CEO of the largest commercial American bank, JPMorgan. Jamie Dimon admits that the current geopolitical situation is what concerns him the most. He refers mainly to the Russia-Ukraine conflict that erupted last year. Even such hazards as accelerating inflation and a looming recession in the US pale in comparison with the damage that the military conflicts bring. “We have dealt with inflation before, we dealt with deficits before, we have dealt with recessions before, and we haven’t really seen something like this pretty much since World War II,” he explains. The expert also points out that the geopolitical crisis is affecting global relationships between such superpowers as the US and China as the trade tensions between the two have also intensified. “I think America takes this very seriously, I’m not quite sure how the rest of the world does,” Dimon adds. Notably, some time back, the JPMorgan CEO called a potential hike of the US key rate to 7% “the worst-case scenario for the global economy.”
