EBRD raises forecast for the economic growth in Ukraine for 2020 to 3.5%

According to Interfax-Ukraine, with reference to the review of the European Bank for Reconstruction and Development (EBRD), the Bank raised its GDP growth forecast for Ukraine from 2.5% to 3.3% in 2019 and from 3% to 3.5% in 2020.

“Ukraine’s economy remained resilient to political factors but the pace of growth will stay somewhat modest,” reads the Bank’s review.

At the same time, the EBRD underlines the crucial importance of the new IMF reform-oriented program for supporting macroeconomic stability, bearing in mind the large public-sector foreign-exchange debt repayments falling due in 2020–2021.

As reported earlier by GMK Center, the Ministry for Development of Economy, Trade and Agriculture of Ukraine raised its forecast for the country’s GDP in 2020 to 3.7%.

In late August, the Prime Minister of Ukraine Oleksiy Honcharuk announced a goal to achieve a 40% growth of the GDP in five years: 5% in 2020 and 7% annually in the following four years.

According to the State Statistics Service, Ukraine’s GDP grew by 3.3% in 2018, following a 2.5% increase in 2017 and a 2.4% increase in 2016.

The share of steelmaking, including related industries, in Ukraine’s GDP reached 12% in 2019. The sector holds the share of about 28% in the total currency inflow to Ukraine.