is reminder of our top story. russian forces continued to pass the eastern ukrainian city of several domestic ukrainian commanders as the battle. there is now being fault house to help ya come, could decide the fate of the entire eastern. don't best reach your watch and he w news up next he w business news with christy plants and i will see you tomorrow with people in trucks injured when trying to flee the city center more and more refugees are being turned away. families, please see the reason for these correct. only thing is with administrative people. seeing extreme dreams. ross getting 200 people. hassan from the agency around the world. more than

300000000 people are seeking refuge. yes. why? because no one should have to flee. make up your own mind. d. w. made for mines. oh, oh, the e c. b is going for a hike. european central bank has decided to raise interest rates for the 1st time in 11 years. will it be enough to squelch soaring inflation in the euro? also on the show, a blockade keeps ukrainian exports locked in while western sanctions keep supplies out of russia. we examined the impact. this is dw business, i'm christy plots, and in berlin the european central bank says it's prepared,

preparing to raise interest rates for the 1st time since 2011. the bank has signaled rates could rise by a quarter of a percentage point with more coming in september on thursday. the bank also ended a long running stimulus scheme. the e. c. b is trying to tamp down on record high inflation, worried that a could trigger a wage price spiral, which would worsen inflation further. the e. c. b is falling in the footsteps of the federal reserve and the bank of england, which have already aggressively raised prices. and are promising further action to rein in inflation. e. c. b president christine, the guard explained the reasoning behind the decision. high inflation is a major challenge for all of us. the governing council will make sure that inflation returns to all to percent target over the medium term in may. inflation again rose significantly mainly because of surging energy and

food prices, including due to the impact of the war. but inflation pressures have broadened and intensified with prices for many goods and services, increasing the strongly oh for more i like to bring in our financial correspondent yann's quarter in new york high gans. so the e. c. b is the latest central bank to hop on the right height bank right. height, bandwagon. seems like more signs of concerned that inflation is going to be knocking hard on the economy. are we staring down the barrel of a global recession at this point? but chris year is not set in stone that we will dive into this some recession a barrel as you mention it to. but clearly a likelihood is an increasing a what are all those central banks are trying to do as the interest rates an increase? they try to suck some liquidity out of the market,

may companies spending less and the goal always is to soft lending as so to avoid a recession. but to him, history has shown that this is so pretty difficult to achieve. and there's so many different moving apart so that it's really tough to really call that at recession is unavoidable. but definitely more and more people are, are, let's say, increases the likelihood that we are going down that path. and i know we heard up briefly a little bit ago from the secretary treasury psycho gen yelling, saying she didn't see at the most likely scenario. but in any case, i wanted to ask you the coven 19 pandemic? the warren ukraine obviously have had major effects on prices as well. how much effect can central banks even have in this situation? a jeremy garcia, jenna jen at it being part of the government. its obvious that she is trying to avoid talking about a recession a, but if you look what is it going to happen a with those some interest rates and they won't work from one day to another. so it

could be a long past. so before the interest rate increases, help to really bring inflation a down. by the way, the federal reserve is going to have their next meeting and next week wednesday. and it is more than likely that we will see another a 50 basis point, an increase. so if you look what happened the last time that we've seen a similar high inflation that was at the beginning of the eighty's, the federal reserve pick, then actually pumped an interest rates up all the way to 19 percent. so we won't see anything like that. now, but back then that actually did cause a recession, but as you mentioned, as i've mentioned, there's so many moving parts. so increasing interest rates, it will only was only going to be one to will a to help fight inflation. williams will be checking with you next week on that fed update. of course, thank you so much now to some of the other global business stories making those to day. lufthansa says it's canceling over 1000 flights in july because of staff

shortages as the industry attempts to bounce back from the pandemic. the german airline said in a statement, it had seen a jump in demand as a crone of iris outbreak ease. but at that its infrastructure has not fully recovered. strikes at charles de gaulle airport, grounded nearly a quarter of flights on thursday, around $800.00 workers protested outside the airport. demanding a monthly pay raise of $300.00 euros, and a strike by firefighters close to the airports, fort runways, that's on top of covered related blaze. ukrainian economy contracted by 15 percent a year on year in the 1st quarter. hit hard by the russian invasion. it followed grows with more than 6 percent in the final quarter of 2021. with the war continuing, the world bank has forecast a drop of 45 percent. for this year. of volt vladimir zalinski has warned that blockaded ukraine grain stalks could triple by

autumn leading to starvation for millions across the globe. ukrainian president estimates the amount of grain could grow to up to 75000000 tons from the current 20 to 25000000. currently blocked his warning comes after russia said it would allow ukrainian grain exports to leave via the black sea on wednesday. still, sanctions against russia over its warn ukraine are intensifying the european union . this week agreed to phase out up to 90 percent of russian oil imports by the end of the year. it's part of the latest package of western sanctions hitting the russian economy of the you has already agreed to ban all russian colon ports starting from august. there's no, you been on natural gas. the germany cancelled a major new gas pipeline. russian companies have cut gas to some countries for refusing to pay in your it roubles. most russian banks have bought, have been blocked from the swift global payment system. gas prompts bank is exempt

. however, as some countries continue to pay for gas. also, many major brands have pulled out of russia, whether on principle or due to payment problems. these include mcdonald's, ikea, apple, and major automakers. russian ships are banned from docking in many countries and major cargo companies have stopped delivering non essential supplies to its ports. and aviation has been effected heavily as well. most western countries have closed their airspace to russian aircraft, and the e. u has band aircraft sales and leasing to russia. the countries pilots aren't happy about being grounded. alexander is a russian airline pilots and now he has a lot of time on his hence. but he won't disclose to the carrier he worked for before russia invaded ukraine. he is angry with his country and it's politicians who donald wizard, though i know, but it is true, but i know to beautiful. i certainly call it a war if someone goes into

a foreign country at 4 in the morning and starts shooting and killing bombing and firing rockets, what would you call that? without doubt or war must regarding palupa, muslin, idealist, ah idealism. all flights were cancelled when it begun. we stay on the ground here in moscow. our wages were cut, while prices and grocery stores were climbing from friend who's your magazine, or who's there is different from our verola. the situation has somewhat slowly come to down in the supermarkets, the empty shelves at the beginning of the war in march have been re stocked. and now inflation is less dramatic than expected to thanks to little bull stabilization . but as a sanctions are being especially felt in sector us there to rely on west and suppliers, especially the asian industry. many leasing agreements were cancelled ration airlines, fia, their planes could be confiscated abroad, so they are ending their international flights. i expected a lot of us such stations in the near future. of course there is a bigger problem,

especially in aviation industry and probably automobile industry. because in that are cases the input components are much more important than canal that industries. and i think that we should expect some, ah, kind of increase in unemployment, that's already affecting workers from more than 1000 to western firms that, that beating russia, including gym and industrial giant siemens. 3 years ago it sealed a 1000000000 dollar deal for 13 new high speed trains called sap sun in russia. as they travel several times a day between moscow and saint petersburg, siemens has cancelled their delivery and ended its business in russia after some 170 years. the exit of foreign firms and western sanctions is weighing heavily experts worn even so many are skeptical as to whether these measurable force of the

kremlin to change its course. i don't think that they can change the current political situation in ra, shot, and political decisions in their future. by look, alexandre has given up hope for better times a hit, at least for the one sprout russian aerospace industry, which are more did shows that ard, for many colleagues are just trying to get jobs abroad. they also want to leave russia entirely, in my opinion, the current situation won't change for at least another 5 years normally get butcher. alexander also has a new job offer in the west, so he is days in russia, a number we spoke earlier to your a shadow who made that report. we asked him about the impact western sanctions or having on russia most. it goes through moscow's grocery stores, for example, you would think that there are no sanctions at all. nothing has changed. i would

say that the, the food supply, he and regalato is partially poorer than in moscow. but if you look at the prices, especially for imported goods, you can see a clear difference compared to the times before the ball. ah, prices have recent substantially for the pot to the drink. but like, like i said that the supply situation in general has normalized, especially if compared to march when some of storage awards suddenly empty. ah, this is mainly thanks to this delegation of the rubel. but the sanctions are really halting, russia in all industrious as that to depend on supplies from the west, especially, all thinks that that rely on migrants also more than 1000 to west and companies have left russia and to day that there was more bad news from for moscow big chinese companies such as how are why a hallway are pulling out of rush as well, probably out of fear of becoming targets for less than sanctioned as well. and a reminder of the top as her story we're following for you this our european central bank says its preparing to raise interest rates for the 1st time since 2011

. the bank has signaled rates could rise by a quarter of a percentage points next month for that's our show for more. you can check us out at dw, got a dot com slash business, and the dw you to channel were also on facebook for me and the whole business team here in blend. thank you so much for watching the show with ah mean invoice with where many of his fans are located. that was until he took a stand on the war in ukraine. how taking this position has affected him.

focus on europe next on d w. why is the end of the pandemic in site? we show what it could look like will return to normal. and we visit those who are finding it difficult with successes or soon, you know, we're weekly coping 19 special in 60 minutes on d, w o. and i think is everything chattanoog fair, some are a big, almost so much different between here and there. so challenging for everything. ah. and so on this,

i think it was worth it for me to come to germany shop my got my license to work as a swimming instructor. and so now i teach children who don't just with what's your story? take part, share it on info, migrants dot net. ah ah, this is focus on europe. i'm laura baba lola, welcome to the show. solidarity with ukraine is strong in europe and beyond. but in russia, the picture looks very different. that's partly due to the news that's consumed by the people living there. the television and social media accounts spread president

putin's propaganda and miss information. and it.