Russia’s invasion of Ukraine and the resulting sanctions have contributed to accelerating the rise in commodity prices (including energy), triggering inflation, and exacerbating instability in an already convalescent Europe. The war has also sparked a massive refugee crisis, the most impressive in speed and size since World War II, whose economic impact is likely to be significant. As of mid-May, the stock of Ukrainian refugees who have fled their country due to the Russian invasion slightly exceeded 6 million, and some 8 million more were displaced internally.1 This refugee crisis imposes huge stress on the humanitarian protection regime and reception capacity of most European countries. This is not only the case in frontline countries such as Poland (3.3 million), Romania (0.9 million), Hungary (0.6 million) or Moldova (0.5 million), but also in other EU member states where the numbers of arrivals has almost reached (and sometimes exceeds) the levels of the 2015-16 refugee crisis in two months only. As of early May, the stocks have risen to 610 thousand in Germany, 70 thousand in France, 40 thousand in Belgium and 5 thousand in Luxembourg. These numbers are likely to grow in the coming weeks, as the war is far from over.