Economy of War: As the GDP of Ukraine changes and what happens next

In general, from January to September this year, according to the Ministry of Economy, GDP increased by 5. 3% compared to the corresponding period of 2022. GDP in September 2023, compared to 2022, improved by 9. 1%. This is evidenced by preliminary estimates of the Ministry of Economy of Ukraine. According to profile minister Yulia Sviridenko, last month positive statistics were recorded in most sectors of economic activity.

"The production sphere, which suffered significant losses and destruction during the war, is gradually recovering," she said. In total, from January to September this year, GDP increased by 5. 3% compared to the corresponding period of 2022. A serious positive contribution to GDP in September also made the service sector.

First, it is a commercial sphere, which as of today has become more digitized and maneuverable in its activity, which enables it to adapt faster to new conditions and needs in the markets. "Secondly, the sphere of public administration and defense, which is a priority for the state during the war, also includes services," the department said.

In September, the production of the food industry increased against the background of increasing the raw material base by agricultural production and the establishment of new routes that supply the necessary products. The processes are also improved in the fields of mechanical engineering and production of building materials - here the growth was due to the fact that the restore projects were implemented, for example, within the Eosel program.

Improvements in the mining industry, as noted in the Ministry of Economy, are due to the accumulation of coal and gas reserves for the winter. "At the same time, the repair campaign of generation and networks, permanent damage to networks through fighting in individual regions and extremely warm weather conditions restrained production and consumption of electricity (compared to September 2022)," the Ministry of Economy emphasized.

At the same time, the growth of the economy in September was hampered against the backdrop of the following factors: "The growth of Ukrainian GDP growth in the previous nine months, as well as a number of favorable factors create quite real hopes that by the end of the year this figure will approach 4-5%,"-added. In the department. We will remind, in the International Monetary Fund (IMF) on October 11 presented an updated forecast for the Ukrainian economy.