Ukraine’s economy is experiencing steady growth, with GDP increasing by 4.5% year-on-year in the first quarter of 2024. The growth rate improved to 4.6% in March compared to February and January of the same year, driven by factors such as the stable operation of the Ukrainian sea corridor, increased production capacity in mining, fertiliser production, and demand for construction services.
Despite recent attacks on Ukraine’s energy system by Russia, which slowed down the recovery of some economic activities and may have negative consequences for electricity production and power supply during peak consumption periods, almost all economic activities made a positive contribution to GDP growth in March. Exports of agricultural products and iron and steel were facilitated by the Ukrainian sea corridor, while investment demand and increased production capacity in the mining industry boosted manufacturing activities and related services.
Preliminary data from the State Statistics Service shows that Ukraine’s real GDP grew by 5.3% in 2023 compared to the previous year, when there was a significant decline of 28.8% year-on-year. Despite challenges such as recent attacks on the energy system, Ukraine’s economy has shown resilience and positive growth trends in recent months.
