Oxford Economics has worsened its expectations for real GDP growth in Ukraine to 3.5% in 2021 from 4% in the August forecast, as well as the forecast for economic growth in 2022 – to 3.4% from 3.5%. The European Bank for Reconstruction and Development (EBRD) kept its forecast for Ukraine’s economic growth in 2021 at 3.5%, according to its November forecast released on Thursday.
Ukraine’s real gross domestic product (GDP) in the third quarter of 2021 increased by 2.4% compared to the third quarter of 2020 after growing by 5.7% in the second quarter of this year, the State Statistics Service published such preliminary estimates.
The growth of the Ukrainian economy in 2021, taking into account the preliminary data of the State Statistics Service for the third quarter, may turn out to be at the level of 3% against 4.6% set in the state budget for this year, which will mean the absence of payments on value recovery instruments (VRI) in 2023, according to experts interviewed by Interfax-Ukraine.
Ukraine’s GDP in January-September 2021 grew by 2% compared to the same period last year, Head of the Council of the National Bank of Ukraine (NBU) Bohdan Danylyshyn has said. J.P. Morgan has sharply downgraded its forecast for real GDP growth in Ukraine in 2021 from 4.5% to 2.3%, while maintaining its forecast for GDP growth in 2022 by 5%, according to the materials of the November EMEA Emerging Markets Research. Analysts at Morgan Stanley have lowered their estimate of Ukraine’s GDP growth in 2021 to 3% from 3.4% in the October outlook, the growth forecast for 2022 has been lowered to 3.5% from 4.2%, according to the outlook materials.
Ukraine’s GDP growth in 2021 may be lower than the 3.1% previously predicted by the central bank, Deputy Governor of the National Bank of Ukraine (NBU) Serhiy Nikolaichuk has said.
The International Monetary Fund (IMF) has downgraded its estimate of Ukraine’s GDP growth in 2021 to 3.2%, compared with 3.5% in the October forecast, according to Ukraine’s memorandum with the fund, released on November 24.
The surplus of the foreign trade of Ukraine for January-September 2021 increased by 95.7% compared to January-September 2020 – up to $440 million.
The deficit of Ukraine’s foreign trade in goods in January-September 2021 decreased by 37.9% compared to January-September 2020, to $ 1.966 billion from $ 3.166 billion, the State Statistics Service of Ukraine has reported.
The growth of consumer prices in Ukraine year-over-year in October 2021 decreased to 10.9% from 11% in September, the State Statistics Service reported.
The total public debt of Ukraine in October 2021 grew by 0.66% in U.S. dollars and amounted to $92.63 billion, while it decreased by 0.28% in hryvnias, to UAH 2.438 trillion.
After a 0.7% decline in September in October 2021, industrial production in Ukraine returned to growth and grew by 1.4% compared to October 2020, the State Statistics Service reported.
Real wages in Ukraine increased by 4% in October 2021 y-o-y, and decreased by 2.2% compared to September of this year.
Publisher of “Open4Business”, PhD in Economics, Maksim Urakin
Dniprospetsstal electrometallurgical plant (Zaporizhia) in January-November this year increased output of finished rolled products, according to recent data, by 0.7% year-over-year, to 142,000 tonnes.
As a representative of the enterprise told Interfax-Ukraine, steel production during this period decreased by 2.9%, to 199,000 tonnes.
In November, 12,000 tonnes of steel and 10,000 tonnes of rolled products were produced.
As reported, Dniprospetsstal in 2020 increased output of finished rolled products by 1.3% compared to 2019, to 154,000 tonnes, and steel by 2.7%, to 225,000 tonnes.
Dniprospetsstal is the only Ukrainian manufacturer of long products and forgings from special grades of steel: stainless, tool, high-speed, bearing, structural, as well as from heat-resistant nickel-based alloys.
Swiss International Air Lines plans to launch regular flights on the Zurich-Odesa route.
According to the official Facebook page of the Swiss Embassy in Ukraine, the start of flights was announced on July 4, 2022.
According to the schedule, flights will be operated on Mondays and Thursdays.
Swiss International Air Lines, also known as SWISS, is Switzerland’s largest airline. It operates regular flights to European countries, North and South America, Africa and Asia. It is a member of the Star Alliance, a global airline passenger transportation alliance.
The World Bank will consider providing EUR 300 million to Ukraine for improving energy efficiency, First Deputy Prime Minister, Minister of Economy Yulia Svyrydenko has said. “The good news is that on December 17, the World Bank Board will consider providing EUR 300 million for Ukraine within the framework of the second tranche under the Second Economic Recovery Development Policy Loan for Ukraine. These funds will be used primarily to finance the presidential project Energy Independence,” Svyrydenko wrote on her Facebook page.
The large-scale program of thermal modernization of housing is designed to significantly reduce the energy consumption of Ukrainians and, accordingly, reduce energy costs. Program participants will be able to reduce energy consumption and utility bills by 60%. Already in 2022, it is planned to cover up to 5,000 apartment buildings throughout the country.
The minister of economy also said that at the meeting with World Bank Regional Country Director for Eastern Europe (Belarus, Moldova and Ukraine) Arup Banerji key issues of deepening the partnership were discussed.
“We are jointly preparing a systemic document on the areas of cooperation. This is Partnership Strategy for 2022-2026. The focus is on the economic development of Ukraine, macro-financial sustainability, the introduction of e-governance and digitalization, the expansion of export markets and the strengthening of the competitiveness of Ukrainian green technologies,” Svyrydenko said.
It is also expected that the World Bank will implement investment projects in the fields of mechanical engineering, energy, information technology, agriculture and construction.
As the minister of economy said, an important area of cooperation is increasing the competitiveness of foreign trade. The Ministry of Economy is working to legislatively strengthen and improve the efficiency of the Export Credit Agency (ECA). The institution’s activities should contribute to increasing the presence of Ukrainian exporters in foreign markets.
Another priority, according to the minister, is the expansion of public-private partnerships and the overall improvement of the business climate. Cooperation with the World Bank is important for Ukraine not only due to financial support of important projects, but also as expert assistance in the implementation of reforms. Strengthening national economic institutions is the way to strengthen the Ukrainian economy, she said.
Ukraine has registered 8,109 new cases of COVID-19, as well as 26,307 recoveries and 356 deaths in the past 24 hours, the Ukrainian Health Ministry said on Wednesday.
“Over the past day, Ukraine has recorded 8,109 new cases of COVID-19 (including 707 children and 182 medical workers), alongside 142,921 people vaccinated for COVID-19, among them 47,137 people who received their first shot and 95,784 who completed their vaccination. In the past 24 hours, 2,280 persons have been hospitalized, 356 have died, and 26,307 have recovered,” the ministry said on Telegram.
Since the beginning of the pandemic, Ukraine has seen a total of 3,578,557 coronavirus infections, including 3,259,316 recoveries and 91,958 deaths.
