Post by tonima5 on Jan 18, 2024 10:44:10 GMT
It is noteworthy that the Ukrainian economy entered 2022 with a growth of 3.2%, which was quite good after a fall of 4% during the Covid-19 pandemic. But on February 24, a full-scale invasion began, and all previous positive trends came to naught. At the beginning of the active phase of the war, expert forecasts regarding the possible fall in GDP differed, but most agreed that it would be more than 30%. And so it happened - we passed the −30% GDP mark back in September. However, it is worth saying here that Ukraine has already faced significant declines in GDP in the past. After the collapse of the Soviet Union and Ukraine's independence, the economy contracted by as much as 50%. The only difference was that this process lasted for six years - from 1993 to 1999. Subsequently (including in 2008 and 2014), the fall in GDP did not exceed 15%. Alexandra Betliy from the Institute of Economic Research emphasizes: “Economic challenges increased greatly in November due to increased attacks on Ukrainian territory by missiles and drones. In particular, due to attacks on critical and energy infrastructure.
Emergency and planned power outages have become Email Marketing List a real challenge for business and the population.” Fortunately, as of the end of February and beginning of March, the situation in the energy sector was stabilized. However, we need to be realistic - a repeat of severe electricity shortages is still possible in the future. Fact: Since the start of the full-scale invasion, direct losses to Ukraine - homes, businesses and infrastructure - have amounted to about $136 billion. Metallurgy, which was rightfully considered one of the real locomotives of the country's economy, suffered especially hard due to the war. According to various estimates, this area has lost from a third to a half of all assets. The reason is that most of the key metallurgical enterprises are located or were located in the east or south of Ukraine. And here it is impossible not to recall the Azovstal plant in Mariupol, which became a real symbol of resistance to the Russian occupiers, but was actually destroyed and looted by the occupiers. The decline in metallurgical production in Ukraine since the beginning of the war amounted to 70%.
And this also became a strong blow to the economy, because for many years this area was one of the leaders in export volumes. Now the export of agricultural products is in first place, and the metallurgical industry has dropped by 62%. At the same time, the business quickly adapted to the new realities and, in general, quickly recovered after the first shock. Yes, power outages complicated many business processes, but the situation did not become critical. As for the energy sector, after the first wave of Russian attacks on oil facilities, it was also possible to recover very quickly. Yes, fuel prices have increased and there has been a certain shortage, but the situation has generally stabilized. The second wave of attacks, targeting energy facilities, became much more serious. According to various sources, up to 50% of all high-voltage power in Ukraine was destroyed or damaged. Surveys of enterprise representatives give us the following results: 66% had to adjust their schedule; 40% reduced production volumes; 12% partially closed their capacities. Moreover, already in December, only 1% of enterprise representatives said that due to blackouts they were forced to completely stop production. Others have found ways to continue doing what they do. Now regarding agriculture Perhaps this sector of the Ukrainian economy suffered less than others.
Emergency and planned power outages have become Email Marketing List a real challenge for business and the population.” Fortunately, as of the end of February and beginning of March, the situation in the energy sector was stabilized. However, we need to be realistic - a repeat of severe electricity shortages is still possible in the future. Fact: Since the start of the full-scale invasion, direct losses to Ukraine - homes, businesses and infrastructure - have amounted to about $136 billion. Metallurgy, which was rightfully considered one of the real locomotives of the country's economy, suffered especially hard due to the war. According to various estimates, this area has lost from a third to a half of all assets. The reason is that most of the key metallurgical enterprises are located or were located in the east or south of Ukraine. And here it is impossible not to recall the Azovstal plant in Mariupol, which became a real symbol of resistance to the Russian occupiers, but was actually destroyed and looted by the occupiers. The decline in metallurgical production in Ukraine since the beginning of the war amounted to 70%.
And this also became a strong blow to the economy, because for many years this area was one of the leaders in export volumes. Now the export of agricultural products is in first place, and the metallurgical industry has dropped by 62%. At the same time, the business quickly adapted to the new realities and, in general, quickly recovered after the first shock. Yes, power outages complicated many business processes, but the situation did not become critical. As for the energy sector, after the first wave of Russian attacks on oil facilities, it was also possible to recover very quickly. Yes, fuel prices have increased and there has been a certain shortage, but the situation has generally stabilized. The second wave of attacks, targeting energy facilities, became much more serious. According to various sources, up to 50% of all high-voltage power in Ukraine was destroyed or damaged. Surveys of enterprise representatives give us the following results: 66% had to adjust their schedule; 40% reduced production volumes; 12% partially closed their capacities. Moreover, already in December, only 1% of enterprise representatives said that due to blackouts they were forced to completely stop production. Others have found ways to continue doing what they do. Now regarding agriculture Perhaps this sector of the Ukrainian economy suffered less than others.