Impact & Influence of Ukraine & Russia War on Tourism

- This research evaluates the tourism industry's response in the event that Russia had invaded Ukraine on February 24, 2022. We demonstrate that the effect of the war on stock markets differs across nations and sectors, depending on how much each is involved in the fight, using an event research technique. According to sector-level study, the war has a significant negative impact on the manufacturing sector in EU countries while having a less significant negative impact on the financial and services sectors. In addition, Russian oil and gas firms are negatively affected by the war. Our findings suggest economic consideration could bea compelling force for the Russian government to halt its war in Ukraine. According to a country-level analysis, businesses in regions close to the front lines or in EU countries have witnessed a significant decline in cumulative abnormal returns, although businesses in other countries that are not directly involved in the conflict don't seem to be significantly affected. The industrial sector in EU nations is significantly negatively impacted by the conflict, although the finance and services sectors are less significantly negatively impacted. In addition, the war has a severe impact on Russian oil and gas companies. Our findings imply that the Russian government may be persuaded to end its conflict in Ukraine by economic considerations.