15:42 11.07.2018

Ukraine's government approves forecasts for social and economic development in 2019-2021

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Ukraine's government approves forecasts for social and economic development in 2019-2021

Ukraine's Cabinet of Ministers on Wednesday approved the forecasts for the social and economic development of Ukraine in 2019-2021, prepared and submitted by the Ministry of Economic Development and Trade.

The document is based on the base-case scenario projecting that the growth of Ukraine's gross domestic product (GDP) will slow from 3.2% in 2018 to 3% in 2019, but then it will accelerate to 3.8% in 2020 and 4.1% in 2021.

The growth of the consumer price index in 2018 is also expected to slow by the end of the year to 9.9% from 13.7% in 2017, then to 7.4% in 2019, 5.6% in 2020 and 5% in 2021.

The forecast is based on the basic assumption of a smooth devaluation of the hryvnia – by no more than 3.2% per year, or to UAH 30.7 per U.S. dollar (plus or minus UAH 2) by the end of 2021.

In addition, the authors of the document expect that the International Monetary Fund (IMF) will launch a new program of cooperation with Ukraine in 2020.

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