Ukraine’s GDP in real terms in Q3 2021 was by 0.9 percent lower compared to Q3 2019, while Hungary, Romania, and Poland have already topped their pre-covid levels in economy. This was stated by MP Serhiy Lovochkin commenting on the most recent data by the State Statistics Service.
“As of yearend 2021, Ukraine will not be able to get back to its economy level of pre-epidemic times. While GDP loss in 2020 had reached 4 percent, the level of GDP growth for 2021 is forecasted at mere 3 percent. Initially, the Cabinet of Ministers was planning a 4.6-percent growth, but the figures kept being revised and decreased during the year, bringing these sad results,” the politician said.
The MP reminded that the government blames ongoing epidemics and energy crisis as the major reasons behind the economy’s weak restoration, but he believes this is a wrong explanation.
“The pandemics continues across the globe, and the energy crisis is not exclusive for Ukraine. Almost all our Western neighbors have not only restored their pre-covid economy levels but also shown better results in the third quarter of 2021 compared to the same period in 2019: by 1.2 percent in Hungary, by 1.5 percent in Romania, and by 3.4 percent in Poland. We are in pretty much similar position to these nations, so our own problems are the ones to be named explanations,” Lovochkin said.
According to the opposition politician, unprofessional management of the nation’s economy, especially industrial manufacturing, is the key problem here.
“The industrial sector of Ukraine lost 6 percent in the first three quarters of 2020 and restored by mere 1.4 percent over the same period in 2021. This is no growth; it’s just an imitation. At the same time, pharmaceuticals and oil and gas production sectors are showing not a hint of it — they continue declining, mostly due to unprofessional decisions made by the administration,” he said.
“Ukraine has its potential for economic growth, and it will be realized when the economy is managed by a government that sees it as a priority,” Lovochkin said.
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