• Germany, the region's largest economy and traditional growth driver, has a particular reason to worry.
  • It's largely reliant on Russian gas and is sliding toward a recession.
  • The possibility of a recession in Europe now seems "clear-cut," Citi economists and strategists said in a note Tuesday.
Europe has previously received around 45% of its annual gas supplies from Russia.

Europe's descent into an economic contraction looks to have been confirmed with Russia squeezing natural gas supplies to the region and heavy industry facing tough rationing in the coming months.

Just days after Europeans breathed a sigh of relief as Russian gas giant Gazprom announced it would resume supplies through the Nord Stream 1 pipeline, it then announced Monday that flows would be reduced yet again.