Ukraine’s Economy Grows by 10.5% in October, Reports Ministry of Economy

by Roman Cheplyk
Monday, November 27, 2023
Ukraine’s Economy Grows by 10.5% in October, Reports Ministry of Economy

Ukraine’s economic growth has shown a remarkable acceleration in October 2023, with a 10.5% increase compared to the same month last year, according to preliminary estimates by the Ministry of Economy

This figure, which has a margin of error of plus or minus 2%, marks a significant uptick in the nation's economic trajectory.

For the period from January to October 2023, the overall economic growth is estimated at around 5.5%, as reported by the ministry's press service.

First Deputy Prime Minister and Minister of Economy Yulia Svyridenko attributed this positive growth to several factors. High agricultural yields and favorable weather conditions that boosted harvest rates were major contributors. Additionally, a stable energy sector and the establishment of a temporary corridor for civilian vessels accessing the ports of Greater Odessa played a crucial role in this economic upswing.

Despite these gains, Svyridenko also noted several challenges impeding further growth. These include significant infrastructure damage, ongoing security risks, limitations in export logistics, a sluggish recovery in the labor market, a scarcity of sufficient equity capital, and limited access to credit funds.

The Ministry of Economy had previously estimated a 9.1% annual GDP growth for Ukraine in September 2023. In a related update, the National Bank revised its real GDP growth forecast for 2023 from 2.9% to 4.9%. Looking ahead, the National Bank anticipates a 3.6% economic growth in 2024, notwithstanding the persistent high security risks.

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