REUTERS
The bank predicts an acceleration of growth in 2020 with the intensification of the post-election reform program, combined with an easing of monetary policy.
The European Bank for Reconstruction and Development has downgraded the forecast for the growth of Ukraine’s gross domestic product in 2019 to 2.5% from 3% previously projected.
According to the EBRD regional economic outlook report, in 2020, Ukraine’s economy is expected to grow by 3%.
The bank's estimates say Ukraine’s GDP growth in 2018 accelerated to 3.3% amid strong domestic consumption.
The expected slowdown in growth in 2019 is explained by the slowdown in growth of Ukraine’s major trading partners and political uncertainty during the period of dual elections.
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At the same time, the bank predicts an acceleration of growth in 2020 with the intensification of the post-election reform program, combined with an easing of monetary policy.
In connection with the large payments on foreign debt in the 2019-2020, there is a significant risk of a fall because cooperation with official creditors remains vital for continued economic recovery, according to the EBRD.
UNIAN memo. According to the State Statistics Service of Ukraine, real GDP growth in Ukraine in 2018 accelerated to 3.3% from 2.5% in 2017 and became the highest in the last seven years.
In 2018, inflation slowed down to 9.8% from 13.7% a year earlier, or to a five-year low.
The 2019 State Budget is based on the government's macroeconomic forecast with real GDP growth at 3% and inflation at 7.4%.
The International Monetary Fund and the World Bank forecast the growth of the Ukrainian economy this year by 2.7% with inflation of 7.3%.
According to the consensus forecast of experts polled by UNIAN, in 2019, the growth of the Ukrainian economy will slow down to 2.8%, while inflation will slide to 7.2%.