The World Bank (WB) Board of Directors has approved additional financing for Ukraine in the amount of $84 million for the HOPE project to rebuild housing damaged by Russian aggression, according to the website of the Ministry of Finance of Ukraine.
“Ukraine will receive $84 million in additional funding from the World Bank for the project “Housing Repair for the Restoration of People’s Rights and Opportunities (HOPE). The funds will be used to restore housing damaged by Russian aggression under the ‘eRecovery’ program,” the statement said.
It is noted that on May 15, an agreement on additional funding between Ukraine and the International Development Association was signed by Deputy Prime Minister for the Restoration of Ukraine – Minister of Community and Territorial Development Oleksiy Kuleba and World Bank Regional Director for Eastern Europe Bob Som.
The Ministry of Finance noted that the World Bank’s Board of Directors approved the decision on May 9.
It is expected that this funding will enable more than 25,000 households to repair their homes.
The NORE project aims to address urgent and critical needs for the repair of partially damaged individual and multi-family residential buildings in communities controlled by the Ukrainian government that have been affected by the Russian Federation’s aggression.
As reported on April 18, Ukraine will get $84 million from the World Bank as part of the HOPE project. The Cabinet of Ministers made this decision on April 18.
In 2024, Ukraine became one of the three largest exporters of agricultural products to the European Union, according to Eurostat.
According to the published information, the largest share of imports to the EU came from Brazil (8.8%, EUR 17.1 billion), the United Kingdom (8.5%, EUR 16.6 billion), Ukraine (6.7%, EUR 13.1 billion), and the United States (6.1%, EUR 12.0 billion). China (5.1%), Norway (4.7%), and Turkey (4%) were also among the main suppliers of agricultural products to the EU.
The EU’s main partner for agricultural exports in 2024 was the United Kingdom with a share of 23.0% (EUR 54.0 billion), followed by the United States (12.8%; EUR 30.1 billion), Switzerland (5.4%; EUR 12.6 billion) and China (5.3%; EUR 12.3 billion).
Eurostat also noted that in 2024, the EU exported agricultural products worth EUR 234.1 billion and imported EUR 194.9 billion, resulting in a surplus of EUR 39.2 billion. Compared to 2023, both exports and imports increased by 2.8% and 6.7%, respectively.
The volume of trade in agricultural products in the EU between 2014 and 2024 increased by 59%, with exports growing by 58% and imports by 60.2%, equivalent to an average annual growth of 4.7% for exports and 4.8% for imports.
As reported, in 2022, the EU lifted restrictions on Ukrainian imports and introduced a so-called customs visa-free regime. According to European media reports, new rules will come into force on June 6, 2025, with duties and quotas on Ukrainian exports being reinstated. The EU is currently preparing a transitional regime that will limit duty-free agricultural exports, including grain, honey, eggs, sugar, and other products.
The initiator of the changes was Poland, which stated the need to protect European farmers. A number of EU countries supported the tightening of trade conditions with Ukraine.
According to the Ukrainian government’s estimates, the abandonment of the current rules will result in the country losing around EUR 3.5 billion per year.
This article presents key macroeconomic indicators for Ukraine and the global economy as of February 1, 2025. The analysis is based on current data from the State Statistics Service of Ukraine, the National Bank of Ukraine, the International Monetary Fund, the World Bank, and the UN. Marketing and Development Director at Interfax-Ukraine, Maksim Urakhin, PhD in Economics and founder of the Experts Club information and analytical center, presented an overview of current macroeconomic trends.
Macroeconomic indicators of Ukraine
In 2024, Ukraine’s economy showed signs of recovery despite the ongoing war and unstable geopolitical situation. According to updated data from the State Statistics Service, Ukraine’s real GDP grew by 3.3% in 2024, while nominal GDP amounted to approximately UAH 8.3 trillion. The deflator index was 11.6%.
“GDP growth demonstrates the resilience of the Ukrainian economy. Sectors focused on exports, domestic consumption, and infrastructure restoration have become the drivers of growth,” comments Maxim Urakin.
As of January 2025, annual inflation accelerated to 12.9%. Consumer prices rose by 1.2% in January compared to December, reflecting seasonal increases and currency stability.
According to the State Statistics Service, at the end of 2024, exports of goods amounted to $43.8 billion (+13.4%), imports to $67.4 billion (+5.7%), and the negative foreign trade balance to $23.6 billion.
“Despite high imports, primarily of energy and equipment, export activity is growing. Ukraine is strengthening its position in the agricultural and metallurgical markets,” says Maksim Urakyn.
As of February 1, 2025, according to the Ministry of Finance, Ukraine’s state and state-guaranteed debt amounted to $146.7 billion, including $100.1 billion in external debt. According to the National Bank of Ukraine, international reserves reached $45.3 billion, increasing by $400 million in January thanks to inflows from the EU and the IMF.
“The record level of reserves strengthens the stability of the hryvnia and allows the NBU to control currency fluctuations,” the economist emphasizes.
Global economy
According to the IMF’s January update, global economic growth in 2024 was 3.1%, with a forecast of 3.2% for 2025. Developing countries remain the main drivers, despite global instability.
According to the Bureau of Economic Analysis, the US economy grew by 2.5% in 2024. In January 2025, inflation stood at 3.1% year-on-year, with the Fed keeping its rate at 5.25-5.5%.
According to revised Eurostat data, the eurozone’s GDP grew by 0.4% in 2024, while inflation stood at 2.8% in January 2025. Germany, the EU’s largest economy, contracted by 0.1%, while Spain and Portugal made positive contributions to overall growth.
“Geopolitics, high borrowing costs, and weak demand in the G7 countries continue to hold back the recovery. Strong consumer demand is supporting the US economy. However, expensive credit is holding back investment activity, especially in real estate. The Chinese economy needs new stimulus, including tax reforms and support for small businesses, to offset the decline in investment in the construction sector,” Urakin explains.
The Indian economy continues to grow steadily: 8% in 2024, according to preliminary data from the Indian Ministry of Finance. The country is strengthening its position in global supply chains and increasing domestic production.
According to official statistics, China’s GDP grew by 5% in 2024. However, growth in the real estate sector remains weak and domestic demand is limited, which is holding back expansion potential.
Conclusion
The macroeconomic picture at the beginning of 2025 reflects a difficult but stable situation both in Ukraine and globally. Domestic GDP growth, slowing inflation, and strengthening reserves are positive signals for Ukraine. The global economy, in turn, is showing cautious growth amid continuing challenges.
“The key priorities for Ukraine remain ensuring macroeconomic stability, growing high value-added exports, accelerating digital transformation, and implementing structural reforms. This will enable the country to strengthen its position in the international economy as early as 2025,” concludes Maksim Urakin.
Head of the Economic Monitoring project, Candidate of Economic Sciences Maksim Urakin.
A more detailed analysis of Ukraine’s economic indicators is available in the monthly information and analytical products of the Interfax-Ukraine agency, Economic Monitoring.
Source: https://interfax.com.ua/news/projects/1072123.html
ECONOMY, EXPERTS CLUB, GDP, GEOPOLITICS, MACROECONOMICS, URAKIN
The state-owned enterprise Boryspil International Airport (Kyiv) announced a tender on May 15 for the purchase of compulsory civil liability insurance for owners of ground vehicles (OSAGO), according to the Prozorro electronic public procurement system.
The expected cost of the services is UAH 596,516 thousand. No tender security is required. The deadline for submitting bids is May 23. The winner of a similar tender in April this year was Euroins Ukraine.
Insurance company Euroins Ukraine (Kyiv) increased its authorized capital to UAH 123.065 million through an additional issue of shares worth UAH 45.125 million.
According to information provided by the insurer in the National Securities and Stock Market Commission’s disclosure system, this is stated in the report on the results of the share issue without a public offering, approved by the supervisory board on March 21, 2025.
According to the report, 4.513 billion shares with a par value of 0.01 UAH were placed during the issue.
Euroins Ukraine is a universal insurance company that has been operating in the Ukrainian market since 1992. It is part of the Bulgarian insurance group Euroins, which is one of the largest independent insurance groups operating in Central, Eastern, and Southeastern Europe.
