Real disposable income of Ukrainians rises 10% in 3Q18

Real disposable income of Ukraine’s citizens rose
10.0% yoy in 3Q18, slightly accelerating from 9.7% yoy growth in 2Q18, the
State Statistics Service reported on Dec. 28. Average disposable monthly income
per individual amounted to UAH 5,066 (USD 185). Nominal gross income of
individuals rose 18% yoy, driven mostly by accelerating wage (22.9% yoy) and
social income (14.0% yoy).

The nominal income of private entrepreneurs and
self-employed individuals improved 15.4%, yoy while property income inched 3.0%
yoy. Spending on goods and services surged 19.7% yoy.

Evgeniya Akhtyrko: Higher wages and social payments continued to be the major
contributors to individual income growth throughout 2018. At the same time,
lower inflation has helped to maintain relatively high growth of real
disposable income in real terms. We are likely to see slower growth of real
disposable income in 4Q18, given the higher comparative base of 4Q17. We
project real disposable income to increase 9.0-9.5% yoy in 2018 (vs. 10.9% yoy
in 2017).