War brings to halt some 35% of Ukraine's economy - PM

War brings to halt some 35% of Ukraine's economy - PM

Due to the war, about 35% of Ukraine's economy is shut down as of today.

This was stated by Ukrainian Prime Minister Denys Shmyhal, who spoke with BBC News Ukraine, Ukrinform reports.

"According to various estimates of many experts, we have lost between 30% and 50% of our economy today. The forecast for GDP drop is also 30-50%. Nearly 35% of our economy doesn’t work today. Accordingly, the budget is estimated at 50-70% of peacetime level. At the same time, the costs for social, humanitarian needs, and demining have increased dramatically,” Shmyhal said.

Read also: Aggressor has already caused Ukraine total losses of $1T - Ustenko

According to the prime minister, all this creates a budget deficit of $5 billion a month. "It's big money, and, of course, we ask our partners to support us, and we do get such support. We work closely with the IMF, the International Bank, the United States, and the European Union. The United Kingdom is very supportive of us," said Shmyhal.

He added that the direct damage inflicted on Ukraine's infrastructure and economy stands at about $600 billion, and that the figure keeps rising.

According to the prime minister, more than 100 educational facilities and over 500 medical institutions have either been completely destroyed or damaged. Also destroyed are 25,000 km of motorways, and several hundred bridges. Twelve international airports were damaged and more than 40 million square meters worth of housing stock was either damaged or destroyed.

The head of government noted that the businesses lost more than 200 factories, while 17% terminated operations, and 60% of enterprises operate below pre-war capacities.

As Ukrinform reported, on May 5, during a visit to Warsaw, Prime Minister Denys Shmyhal presented to international partners and donors a United24 platform

Read also: Biden suspends tariffs on steel imports from Ukraine for one year

On May 17, President Volodymyr Zelensky signed a decree establishing the national brand United24 to unite the efforts of international partners in support of Ukraine.

On May 18, Ukrainian football legend Andriy Shevchenko became the first United24 ambassador.

Photo: Cabinet of Ministers of Ukraine

Sign up for our free newsletter skorik@ukrinform.com.

Let’s get started read our news at facebook messenger > > > Click here for subscribe

While citing and using any materials on the Internet, links to the website ukrinform.net not lower than the first paragraph are mandatory. In addition, citing the translated materials of foreign media outlets is possible only if there is a link to the website ukrinform.net and to the website of a foreign media outlet. Citing and using materials in offline media, mobile apps, Smart TV are allowed only with written permission from Ukrinform. News and publications marked as "Advertisement" and "PR" and articles in the section "Releases" include promoted content, and an advertiser is responsible for the content.

© 2015-2023 Ukrinform. All rights reserved.

Website design Studio Laconica

Extended searchHide extended search
By period: