The gross domestic product of Ukraine in the first quarter of 2022, due to the war started by Russia, fell by 16% compared to the same period last year, this is the estimate of the Ministry of Economy of the country.
“Russian aggression against Ukraine has radically changed our economy. Our forecast for a decline in GDP in the first quarter of 2022 is 16%, and the annual decline could reach 40%,” First Deputy Minister Denis Kudin is quoted in a press release from the department.
According to him, those industries where remote work is impossible, in particular, aviation, maritime transportation, and the service sector, where businesses work directly with consumers, have suffered the most.
At the same time, Kudin pointed out that over the past 10 days, the economy as a whole has begun to recover, business in safe regions is returning to work, and farmers have begun sowing.
The Ministry of Economy noted that in the process of restoring the Ukrainian economy, special attention will be paid to supporting industries that directly ensure the livelihoods of citizens and strengthen the state’s defense capability. “We are talking about agriculture, food production, retail trade, utilities and energy services, industries working on mobilization orders,” the ministry said.
As reported, the Managing Director of the International Monetary Fund (IMF) Kristalina Georgieva predicted on March 22 that the decline in Ukraine’s GDP due to the war started by Russia could be a third of the pre-war level.
Prime Minister Denys Shmygal at the end of March gave a forecast of a 35% decline and “slightly higher.”
According to the State Statistics Service, in 2021, Ukraine’s GDP grew by 3.4% after a decline of 3.8% in 2020, its nominal volume amounted to about $200 billion.
President of Ukraine Volodymyr Zelensky has called the visit of head of the European Parliament Roberta Metsola to Ukraine against the background of the war a manifestation of heroism.
“I would like to sincerely thank you personally, Roberta, and all your team for the fact that at such an important moment for our country, when Ukrainians believe in deeds and concrete steps, you demonstrate heroism to come to Ukraine. And today it is heroism,” Zelensky said during his meeting with Metsola in Kyiv.
He also thanked the head of the European Parliament for the joint telephone talks held several times before the start of the Russian-Ukrainian war.
“The result of these conversations was your appeal to parliamentarians, the world community and some kind of support for Ukraine at the level of the European Parliament. And we highly appreciate these steps. Today we look through the prism of ‘friends and foes’, because we do not have time and there is no gray color for us in international diplomacy. Therefore, the issue of survival is acute. We are glad that you are on the side of light and kindness towards Ukraine,” he added.
Zelensky noted that he was unable to leave Kyiv and personally address the European Parliament, but expressed confidence that “nevertheless, today the voice of Ukraine is heard.”
“And I am glad that there is no status and pathos in our relationship. You have arrived, and this is a very important sign. We will never forget this,” he concluded.
By the decree of the President of Ukraine dated March 31, Roberta Metsola was awarded the Order of Princess Olga.
Ukrainian athletes won two “gold” and one “bronze” medal at the European Wrestling Championship in Budapest.
“Today, Ukrainian women received two ‘gold’ and one ‘bronze’ at the European Wrestling Championship. Alina Hrushina-Akobia in the 55 kg weight category and Tetiana Rizhko (65 kg) won gold awards as part of the women’s national team of Ukraine. Ilona Prokopeniuk (62 kg) won the bronze medal,” the press service of the Ministry of Youth and Sports said in a statement.
It is noted that in total Ukrainian women received five awards of the European Championship: two “gold”, one “silver”, and two “bronze”.
In Kharkiv, the payment for all utilities provided by the city will be written off from February 24 until the end of the war, said Mayor Ihor Terekhov.
“I know and understand how hard it is for you, how steadfastly you hold on, enduring all the horrors of war. Therefore, all utilities provided by the city will be written off from February 24 until the end of the war,” Terekhov said in a video message published on his Telegram channel.
“At the same time, I am very grateful to all the people who, despite the fighting, continue to pay for housing and communal services. I promise you that with the arrival of peace in Ukraine, your bills will be recalculated,” he added.
The Verkhovna Rada at a meeting on Friday adopted a law on the full guarantee by the state of deposits of individuals for the period of martial law and three months after its completion. According to the head of the committee Daniil Getmantsev in the Telegram channel, the law also establishes that subsequently the maximum amount of compensation on deposits will be UAH 600,000 compared to UAH 200,000 now.
In addition, the Rada adopted in the first reading bill No. 7233 amending the Tax Code and other laws regarding the collection of a single fee and accounting for denatured ethyl alcohol and chemical and technical products. The bill is aimed at providing favorable conditions for the production of denatured ethyl alcohol, bioethanol, chemical and technical products.
Bitcoin and other cryptocurrencies decline on Friday, with some of the largest digital assets posting their biggest drop in weeks as risk appetite wanes, Barron’s writes.
Bitcoin has lost over 4% in the past 24 hours but is holding above the key technical level of $45,000. The price of the cryptocurrency jumped above this indicator last Sunday and continued to rise at the beginning of the week, rising above $48,000.
Meanwhile, on Thursday, bitcoin began to decline as investors exited risky assets, including cryptocurrencies and equities. By Thursday evening, its price had fallen more than 3%, showing the most significant one-day drop since March 10, according to Dow Jones Market Data.
“Bitcoin’s rally is fading, and the Wall Street session, which was accompanied by risk aversion, could lead to continued pressure on cryptocurrencies,” said Edward Moya, an analyst at Oanda.
The price of the most popular cryptocurrency at the beginning of 2022 was around $46,200 and remains well below the high of $68,990 reached in early November.
Meanwhile, some market participants believe that the fall in prices may be short-term, said Barron’s.
Meanwhile, the price of Ethereum, the second-largest cryptocurrency by capitalization, fell more than 3% below $3,300, also showing the largest one-day decline since early March on Thursday.
