Real wages rise 12% yoy in February

Real wages in Ukraine grew 12.2% yoy in February,
slightly slowing down from 12.5% growth in January, the State Statistics
Service reported on Mar. 27. The average monthly nominal wage increased to UAH
10,847 a month (USD 441) from UAH 10,727 in January, or 1.1% m/m growth in real
terms.

The leading regions for average monthly wages were the
city of Kyiv (UAH 16,447), Ukrainian-controlled Donetsk (UAH 11,423) and Kyiv
region (UAH 11,177).

The largest nominal average wage growth was in “other”
services (27.9% yoy), hospitality and catering (23.5% yoy), and financial and
industrial services (18.7% yoy). Within the industrial sector, the highest
average nominal wages were in pharmaceuticals (UAH 19,600), mining (UAH
15,516), and coke and oil production (UAH 15,277).

Evgeniya Akhtyrko: We are likely to see negative trends in wages already in March
statistics, which will reflect the direct negative effect of the lockdown on the economy. The updated macroeconomic forecast by the
Ministry of Economy
assumes that the average monthly wage in 2020 will amount to UAH 11,000.
Recall, the average monthly wage in 2019 was UAH 10,497.