Ukraine real GDP drops 2% in 1Q21, UkrStat estimates
17 May 2021
Ukraine’s 1Q20 real GDP fell 2.0% yoy, after dropping
0.5% yoy in 4Q20, according to the preliminary estimates by the State
Statistics Service released on May 14. The seasonally adjusted GDP declined
1.1% qoq in 1Q21.
Evgeniya Akhtyrko: Ukraine’s
economic performance was very weak in 1Q21, especially given the quite low
comparative base of 1Q20 (GDP declined 1.2% yoy in 1Q20). The negative trends
were observed in all major sectors except trade. Such a flimsy result is likely
to be another demonstration of the havoc the pandemic brought to the economy,
with the disruption of many economic liaisons and the failure of auxiliary
businesses.
We expect Ukraine’s economy will increase 4.1% yoy in
2021 (vs. a 4.0% yoy decline in 2020).
