In the first quarter of 2025, Ukraine’s nominal gross domestic product (GDP) reached ₴1.9 trillion. As a result of this period, the real GDP growth compared to the same quarter in 2024 was only 0.9%.
This is reported by Business • Media
2025 Forecast Downgraded
The investment company ICU has significantly revised its forecast for Ukraine’s economic growth for the current year. Analysts note that GDP dynamics will remain moderate due to limited resources for recovery, particularly a shortage of labor and capital. Moderate growth is expected to be primarily supported by domestic private consumption, driven by rising incomes in the private sector. At the same time, a reduction in government consumption will continue to hinder economic growth.
“Economic growth will remain slow, as resources for recovery – both labor and capital – will be limited. Moderate recovery will be supported by domestic private consumption due to rising incomes of workers in the private sector. Meanwhile, the reduction in government consumption will remain a key obstacle to GDP growth. For 2025, we are lowering our economic growth forecast to 2.5% due to a worse-than-expected harvest,” the review states.
Key Challenges and Inflation Trend
Experts emphasize that one of the main tasks for the government at this time is to attract an additional $10–15 billion in financial assistance beyond the funds already promised by partners for 2026. Additionally, analysts noted a reversal in the inflation trend in June, predicting that the rate of consumer price growth will continue to gradually decrease.