Ministry of Economy: GDP decline slowed to 26% in February
In January, the figure was 32%
The GDP decline in February 2023 was 26% (±2%) compared to 32% (±2%) in January. This is evidenced by the operational estimates of the Ministry of Economy of Ukraine.
In February, the situation in industrial production improved slightly compared to January due to a decrease in the pressure of electricity shortages, given the launch of nine nuclear power units. In addition, in February, there were fewer missile attacks on electricity facilities than in January 2023, and their negative impact was also levelled by the greater adaptability of producers.
"The 'energy war' won by Ukraine has boosted the optimism of businesses, which have improved their expectations regarding the future and stepped up their operations. In general, the economic front is holding up – the economy continues to function, adapt and recover," said Yulia Svyrydenko, Minister of Economy of Ukraine.
This includes the transport sector – according to the Ministry, there has been a gradual recovery in all key modes of transport, except for air travel, which is currently not being carried out due to hostilities.
The situation in the livestock sector has also improved somewhat, as it is gradually adapting to the difficult operating conditions, particularly in oblasts that were relatively less affected by the war and where farmers from the frontline areas have relocated. Business expectations for the trade sector, which is sensitive to changes in demand, have improved significantly.
The situation in the construction sector is also gradually improving. This is due to the intensification of construction activities in the de-occupied territories, including the restoration of destroyed or damaged residential, industrial, and infrastructure facilities.
Previously. Ukraine's GDP in 2022 fell by 30.4%, which was better than previous forecasts.
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