India, the Philippines and Thailand will likely stand to lose the most in Asia as a sustained increase in oil prices fans inflation, slows growth and weakens their currencies, according to Nomura Holdings Inc.
Those impacts in Asia from Russia’s Ukraine invasion will be felt mostly through commodities, specifically fuel and food, analysts including Sonal Varma and Ting Lu wrote in a report Friday, adding that other factors outside the conflict will also keep prices sustained.
A 10 percent rise in oil prices could add 0.4 percentage points to inflation in India and the Philippines, and 0.3 percentage points in Thailand, as transportation and utility costs surge, the analysts wrote. Heavy reliance on oil imports also mean their current account deficits could widen further and undermine their currencies.
India is expected to suffer the biggest blow to economic…
