Ukraine's GDP grew by more than 4% in 6 months
Ukraine's GDP grew by 4.1% over the past six months, compared to the first six months of 2023, with 1.1% growth in June, the Economy Ministry reported on July 12.
"During June, the economy operated in difficult conditions of power outages," Economy Minister Yulia Svyrydenko said.
"However, due to the high adaptability to difficult conditions and experience in responding to such challenges, the Ukrainian economy continued to grow."
Russia's invasion caused a major hit to Ukraine's economy, which suffered a whopping 29.1% fall in GDP in 2022. The economy stabilized faster than expected in 2023 due to several successful government programs, as well as international support, and grew by 5.3% in 2023.
High export rates of mining and metallurgical products, as well as the early start of winter crop harvesting, are the factors that also contributed to the growth, according to Svyrydenko.
The stable operation of the Ukrainian sea corridor and the ability of some companies to secure stable access to electricity through direct imports were other positive factors that contributed to Ukraine's economic growth, she said.
Economic growth is currently in line with the ministry's updated forecast, which says that GDP should reach nearly Hr 7.5 billion (around $167 million), with growth of 3.5% by the end of 2024, according to Svyrydenko.
The ministry's analysis shows that in June positive development dynamics were observed in domestic trade, agriculture, and construction.
However, the shortage of qualified workforce negatively affects business expectations, according to the ministry.
Among the key unresolved issues are high-security risks and the consequences of the destruction of the energy infrastructure by Russian attacks, as well as logistical problems and a difficult labor market situation, according to the ministry's research.
