IMF lowers forecast of Ukraine's GDP decrease in 2009 to 8%

The International Monetary Fund downgraded its forecast for the decrease in Ukraine’s GDP this year from 3% to 8%, according to the IMF’s World Economic Outlook published yesterday. The IMF estimates Ukraine’s GDP to grow 1% in 2010. The IMF also said it anticipated Ukraine’s annual average inflation to decrease from 22.3% in 2008 to 16.8% this year and 10% in 2010. Andrii Parkhomenko: We are currently looking to downgrade our real GDP change estimate for 2009 (currently, at -7% yoy) and will release the new forecast in our upcoming monthly macroeconomic overview. The new number is most likely to be more pessimistic than the IMF’s -8%. We retain our CPI inflation forecast at 15.0% yoy in 2009 and 7.0% yoy in 2010.