World Bank confirms forecast for Ukraine GDP growth at 2% in 2025, cuts it from 7% to 5.2% in 2026

MOSCOW. April 23 (Interfax) - The World Bank's latest Europe and Central Asia economic update confirmed the January forecast that GDP growth in Ukraine is expected to slow to 2% in 2025 from 2.9% in 2024, also cutting the GDP growth forecast for Ukraine to 5.2% from 7% in 2026.

Ukrainian media cited the World Bank as saying in the update it expects economic growth in Ukraine to slow to 2% in 2025 before rebounding to 5.2% in 2026, when the crisis is expected to end and reconstruction will start.

Amid the continuing crisis, GDP growth in Ukraine decelerated to 2.9% in 2024 from 5.2% in 2023, it said, citing lower external demand, workforce shortages and further disruptions to electricity supply among the main factors behind the economic slowdown.

As reported, in its Global Economic Prospects, published in mid-January 2025, the World Bank cut its forecast for GDP growth in Ukraine in 2025 to 2% from 6.5% given in its June report, but raised it from 5.1% to 7% for 2026.

Last week, the National Bank of Ukraine downgraded its GDP growth forecast to 3.1% from 3.6% in its January macroeconomic report, also cutting its 2026 projection to 3.7% from 4%.