The forecast for the fall in Ukraine's gross domestic product (GDP) of up to 3 percent could be worsened by 3-4 percentage points due to the recent events in the eastern regions of Ukraine, Minister of Economic Development and Trade Pavlo Sheremeta has said.
“In March there was an overall outlook, in which we estimated GDP at
‘minus’ 3 percent. One of the pessimistic forecasts now is 7percent. I think that
this 3-4 percent is the projected effect from the situation that occurs in the
east,” he said at a briefing.
As reported, after a zero growth in 2013 the national budget for 2014
adjusted in March is based on the forecast of a 3 percent decline in GDP.
However, in the April memorandum between Ukraine and the International
Monetary Fund (IMF) the drop was estimated at 5 percent. According to the
forecasts of the European Bank for Reconstruction and Development, the
fall of Ukraine’s GDP could reach 7 percent over the year, and the National
Bank estimates it at 6.4 percent.
