Concerns about a pullback on stimulus efforts by the Federal Reserve has triggered financial market turbulence in emerging economies such as India and Indonesia and fueled currency depreciation and an outflow of capital because of rising borrowing costs, the group said in a new report. .
Those airlines have both warned of falling profits because of high fuel costs, currency weakness and slowing demand.
The danger is that Pakistan may have to endure the greater evil of fuel shortages, currency controls and even default before it accepts the lesser evil of stiffer taxes, higher electricity bills and the IMF.
Ryanair's hedging of fuel and currency costs, allowing it to purchase planes and oil until 2018 with dollars bought at a rate that looks cheap, should help it to even bigger profits ahead.
Customs and Excise estimates that the sale of smuggled cigarettes and alcohol, fuel, counterfeit currency, DVDs, CDs and videos is netting up to £220m a year for such groups as the IRA, the Ulster Defence Association, the Irish National Liberation Army and the Ulster Volunteer Force.
The worst-case scenario would involve a sharp fall in the value of sterling, followed by sticky inflation that reinforced the rise in British export prices, fueling further currency depreciation.
Economists and independent analysts say the sanctions have aggravated the country's chronic economic problems and fueled a currency crisis that is limiting the availability of a broad array of goods, including illegally imported iPhones and life-saving medicines.
In Zimbabwe, for example, Robert Mugabe's misrule has meant shortages of fuel and foreign currency.
Zimbabwe struggles with rampant inflation and shortages of foreign currency, fuel, food and many other commodities.
