In July 2024, Ukraine’s Gross Domestic Product (GDP) grew by 2.7% [±1%] compared to July of the previous year. For the first seven months of 2024, GDP growth stands at 4.0% [±1%] compared to the same period last year. This data was released by the Ministry of Economy of Ukraine.
Read more: The procedure for using funds from the United24 platform has been changed
Dynamics of Economic Growth
Ukraine’s First Deputy Prime Minister and Minister of Economy, Yulia Svyrydenko, noted that the economic growth rate of 4.0% for the first seven months of 2024 aligns with the updated government forecast. According to projections, real GDP growth for the year is expected to be around 3.5%.
Main Factors of Growth
Domestic Trade and Construction: In July, there was positive dynamics in domestic trade due to a gradual increase in consumer demand. The construction sector also showed signs of recovery, notably due to budget financing for the restoration of critical infrastructure, capital reconstruction, and repair of road surfaces on emergency sections.
Agriculture: Significant growth in agriculture was recorded in July. The main factor was the increased volume of winter crop harvests, made possible by an early start to the harvesting campaign due to weather conditions. Livestock also demonstrated positive dynamics due to stable demand and government support, although costs associated with alternative feed negatively impact poultry farming.
Industry: Industrial enterprises maintain production activity thanks to direct imports of electricity and experience in responding to energy challenges. However, costs associated with alternative sources of electricity supply constrain production growth.
Existing Problems and Challenges
Despite the positive trends, there are key issues that may hinder further economic growth. These include high security risks, the consequences of the destruction of energy infrastructure, and the need for its restoration, which will require time and substantial resources. Logistical problems and a challenging labor market situation also remain significant challenges for the economy.
Overall, the positive economic growth indicators for July 2024 point to a gradual recovery of the Ukrainian economy, but existing challenges require further resolution to ensure stable and sustainable development in the future.
 grew by 2.7% [±1%] compared to July of the previous year){kind=link}