May 13, 2025
EBRD revised the forecast of Ukraine's economy growth for 2025: expectations worsened thumbnail
UKRAINIAN NEWS

EBRD revised the forecast of Ukraine’s economy growth for 2025: expectations worsened

The European Bank for Development and Reconstruction (EBRD) has worsened the growth of growth of gross domestic product (GDP) of Ukraine for 2025 to 3.3% of the 3.5% that it expected in February.

About it It is said In the EBRD message.

As before, it retained the forecast for 2026 at the level of 5.0%, subject to the termination of Russia’s war against Ukraine and receiving benefits from post -war reconstruction.

“Global trade pressure, as well as war, affect economic expectations for 2025. It is expected that Ukraine’s GDP will slow down to 3.3% in 2025, and recent global trade contradictions will add additional risks to already high uncertainty related to Ukraine’s war.”

It is emphasized that stable external funding from the EU under the Ukraine Facility Program and the receipts from the frozen Russian assets of ERA, provided by G7, completely cover external and fiscal deficits in 2025, maintaining macroeconomic stability.

It is expected that a powerful incentive by state consumption and increase of military procurement of the domestic industry will support economic growth.

At the same time, the Bank noted that since the middle of 2024 there is a slowdown in economic growth and acceleration of inflation due to the influence of the war that began with the Russian invasion in February 2022.

GDP growth in 2024 significantly slowed with more than 5.0% in the first half of the year to about 2.0% in the second half of the year, resulting in a total rate to 2.9%.

The reasons are electricity shortages due to Russian attacks, low yields and acute labor shortages in the economy caused by the war.

Recall:

The European Bank for Reconstruction and Development (EBRD) in February reduced the forecast growth Economics of Ukraine (GDP) for 2025 by 1.2 percentage points. At that time, the growth forecast was 3.5%, and the September report provided 4.7%.

”, – WRITE: epravda.com.ua

The European Bank for Development and Reconstruction (EBRD) has worsened the growth of growth of gross domestic product (GDP) of Ukraine for 2025 to 3.3% of the 3.5% that it expected in February.

About it It is said In the EBRD message.

As before, it retained the forecast for 2026 at the level of 5.0%, subject to the termination of Russia’s war against Ukraine and receiving benefits from post -war reconstruction.

“Global trade pressure, as well as war, affect economic expectations for 2025. It is expected that Ukraine’s GDP will slow down to 3.3% in 2025, and recent global trade contradictions will add additional risks to already high uncertainty related to Ukraine’s war.”

It is emphasized that stable external funding from the EU under the Ukraine Facility Program and the receipts from the frozen Russian assets of ERA, provided by G7, completely cover external and fiscal deficits in 2025, maintaining macroeconomic stability.

It is expected that a powerful incentive by state consumption and increase of military procurement of the domestic industry will support economic growth.

At the same time, the Bank noted that since the middle of 2024 there is a slowdown in economic growth and acceleration of inflation due to the influence of the war that began with the Russian invasion in February 2022.

GDP growth in 2024 significantly slowed with more than 5.0% in the first half of the year to about 2.0% in the second half of the year, resulting in a total rate to 2.9%.

The reasons are electricity shortages due to Russian attacks, low yields and acute labor shortages in the economy caused by the war.

Recall:

The European Bank for Reconstruction and Development (EBRD) in February reduced the forecast growth Economics of Ukraine (GDP) for 2025 by 1.2 percentage points. At that time, the growth forecast was 3.5%, and the September report provided 4.7%.

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