The dynamics of support to Ukraine have slowed. Newly committed aid has reached a new low between August to October 2023—an almost 90 percent drop compared to the same period in 2022. Ukraine now increasingly relies on a core group of donors such as the US, Germany, and the Nordic and Eastern European countries that continue to pledge and deliver both financial aid and important weaponry, such as F-16 fighter jets. The outlook is unclear, since the largest pending aid commitment—by the European Union—has not been finally approved, and aid by the US has been on the decline. These are results from the latest Ukraine Support Tracker update, which now covers commitments through October 31, 2023.

According to the latest update of the Kiel Trade Indicator, global trade declined in November compared to the previous month of October (price and seasonally adjusted). In line with the weak development, the volume of standard containers shipped has also fallen. German foreign trade in particular is following a sustained period of weakness. Shipping traffic in the Red Sea is well below the volume actually expected, which is primarily due to economic factors. The effects of the conflict in the Middle East are only likely to become apparent in the medium to long term.

Four young economists based in the United States and the United Kingdom received this year’s Excellence Awards in Global Economic Affairs of the Kiel Institute.