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The profile ministry has already started developing programs to support both bus...

The fall will be 35-40%: the Ministry of Economy has predicted the fall of Ukraine's GDP because of the war

The profile ministry has already started developing programs to support both businesses that are still working and those who need money to recover. By the end of 2022, Ukraine's gross domestic product could be reduced by 35-40%. The Minister of Economy Yulia Sviridenko announced this on August 19 on the national telephone. "According to our estimates, the coagulation of the economy by the end of the year can be at the level of 35-40%," said the head of the profile ministry.

In order to stabilize the economy, the profile ministry is planning to support businesses that operate and have a state and markets. The task is to help function further, providing the market with products and Ukrainians - workplaces. "In addition to the micro-grants program, the government is developing changes to the program" 5-7-9 "so that the enterprises in the frontline areas whose assets were destroyed were able to take out a loan," Sviridenko explained.

NBU analysts predict that this year the level of falling salary will be approximately 12%, but in a practical terms, reducing the income of Ukrainians will be much more noticeable - about 27%, considering inflation. "With the restoration of the economy, the revival of demand for labor, the nominal salaries will grow rapidly and exceed the pre -war level already in 2023," the national regulator report reads.

At the same time, given the inflation level, the real salaries of Ukrainians by the end of 2024 will still be lower than what was by February 24. We will remind, according to the forecast of the World Bank, the gross domestic product (GDP) of Ukraine in 2022 in the conditions of a full -scale war can be reduced by 45. 1% compared to 2021. World Bank analysts predict that the Ukrainian economy will recover from the GDP after the collapse of GDP.