Ukraine says its GDP fell 10.5% in 1st quarter of 2023

Ukraine‘s gross domestic product fell by 10.5 per cent in the first quarter of the year compared with the same period a year ago, the economy ministry said on Friday.

The ministry said in a statement the fall was less than it had initially expected, indicating that the economy was adapting to events following Russia’s invasion more quickly than expected.

The ministry said it had initially expected GDP to fall by 14.1 per cent in the first quarter of 2023.

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“The data indicate that the Ukrainian economy is adapting and recovering at a faster pace than was previously forecast,” said Yulia Svyrydenko, who serves as first deputy prime minister and economy minister.

She said the government continued to focus on stabilizing the situation in the energy sector and helping solve logistics problems for Ukrainian exports.

Ukraine’s economy shrank by about one-third last year following the full-scale Russian invasion. This year a slight growth is expected by the government and analysts.