By KYIV. Nov 24 (Interfax-Ukraine) – The real growth of the gross domestic product (GDP) of Ukraine in October this year reached 10.5% (±2%) compared to October last year, while in September it was 9.1% (±2%), according to the preliminary assessment presented by the Ministry of Economy on Friday.
“The Ukrainian economy continues to demonstrate positive dynamics, even despite unfavorable external factors… As a result, for January-October 2023, economic growth is estimated at 5.5% compared to the corresponding period last year,” the Ministry of Economy, which reported on GDP growth for the first nine months of this year by 5.3%, said.
Among the positive factors that contributed to economic growth, First Deputy Prime Minister, Minister of Economy Yulia Svyrydenko included high yields in agriculture and favorable weather, which ensured high rates of harvesting, a stable situation in the energy sector and the work of a temporary corridor for the movement of civil vessels to the ports of Big Odesa.
According to her, the constraining factors of economic growth remain significant destruction of infrastructure and fixed assets, the persistence of significant security risks, restrictions on export logistics, the slow recovery of the labor market, and the lack of sufficient equity capital and available credit funds.
Svyrydenko said that in October the most positive contribution to GDP was made by the service sector, in particular, the sphere of public administration and defense, the financing of which is a priority during war. In second place in terms of the impact of economic growth was the manufacturing sector, which, although it suffered significant losses and destruction during the war, is showing a steady recovery, the First Deputy Prime Minister added.
She said that the industry is gradually updating production rates amid an increase in the raw material base from agricultural production, the need to replenish coal and gas reserves to get through the winter period, a stable situation in the energy sector and investment demand from the public sector.
As Svyrydenko said, budget funding aimed at emergency restoration of infrastructure damaged in hostilities and major restoration in previously liberated territories had a positive impact on the construction sector. The primary housing market has also begun to feel better thanks to the implementation of the eOselia government program.
