The reason for a better economic forecast is recovery of economic activity following the lift of strict lockdown
The National Bank of Ukraine (NBU) increases its forecast for Ukraine’s GDP in Q3 2020 from -7.4% to -6.2%, according to Interfax-Ukraine.
According to the NBU, a better forecast is explained by recovery of economic activity resulting from the lift of strict lockdown rules since late May and introduction of adaptable quarantine.
“As the total lockdown was lifted many cafés and restaurants reopened, and their sales went up. Aviation and public transport are recovering as well, monthly business expectations improve,” reads the message.
GDP was also supported by better external market conditions and road construction, which, in its turn, gave a rise to mining, wholesale and transport sectors.
As reported earlier, the NBU expected a 6% fall in Ukraine’s GDP. The forecast for economic recovery was 4% for 2021 and another 4% for 2022.