Ukrainian Economy Minister Oleksiy Sobolev reported that the World Bank has radically lowered its GDP growth forecast from 5.2% to 2%.
Points of attention
- The Ministry of Economy's preliminary estimates show promising growth signals, contrasting with Russia's slowing growth trends, with expected growth rates of 3-4% in the coming months.
- Understanding the implications of the World Bank's projections is vital in navigating the economic landscape of Ukraine, especially with a focus on key growth sectors and strategic investment opportunities.
What does the World Bank predict?
As Sobolev explained, the World Bank relied in its forecasts on the war ending in 2025.
That is why analysts believed that the situation in Ukraine would be much better.
"When these forecasts are revised, they accordingly reduce growth to the real level. The Ministry of Economy estimates growth next year at approximately 2.5%, and we are maintaining this forecast," the Minister of Economy said.
He also added that according to preliminary estimates by the Ministry of Economy, in August 2025, compared to August 2024, GDP growth was recorded at about 5.3%.
What is important to understand is that the key impulses were the increase in activity in construction, the processing industry, and agriculture.
In the second half of this year, there will be increased growth. And this will significantly distinguish us from the fact that in Russia, growth slows down every month and will reach almost 0%. At that time, we will have growth of 3-4% during September and October.
Alexey Sobolev
Minister of Economy, Environment and Agriculture of Ukraine
