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The EBRD predicts sharp growth of the Ukrainian economy

Photo: t.me/V_Zelenskiy_official

After falling by 20% this year, the Ukrainian economy could grow by 23% next year, according to the bank.

Ukraine’s economy will grow sharply next year if the war with Russia ends in the next two months. This forecast was provided by the European Bank for Reconstruction and Development (EBRD), Reuters wrote on Thursday, March 31st.

The bank believes the war will lead to the biggest economic collapse in both countries in 25 years. But Ukraine’s economy will recover sharply in 2023, as long as the war is about to end.

Ukraine’s economy will contract 20% this year, according to EBRD chief economist Beata Javorczyk, as territorial conflicts take place that make up 60% of the country’s GDP before the war.

However, GDP could recover by 23% in 2023 if the war is near the end.

“Ukraine, which was originally a poor country, is going to be harder. We understand that from a third to half of companies have stopped working, and electricity consumption is 60% of pre-war levels,” he said. by Yavorchik.

So far, Ukrainian authorities estimate the economic collapse at 35% or more.

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Source: korrespondent

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