Ukraine's government predicts GDP growth of 5% in 2024

Ukraine's gross domestic product in 2023 grew by 5.6%, and the Cabinet of Ministers expects 5% GDP growth in 2024.

Ukrainian Prime Minister Denys Shmyhal said this at a press conference on Monday, March 4, Ukrinform reports.

"We had 5.6% GDP growth last year. We expect up to 5% growth this year. Of course, compared to the 30% loss of territory, economy, and GDP, these are relatively small figures, but they are the figures of growth. This helps us, among other things, to finance the army and all social payments," Shmyhal said.

He recalled that UAH 1.7 trillion had been envisaged for the army in the state budget for 2024, which is half of the expenditures that Ukraine must cover with domestic funds. The remaining expenditures are covered thanks to the help of Ukraine's partners.

"Therefore, our task is to optimize our economy so that the state budget grows, GDP grows. Last year, we received more taxes than expected, and I thank our businesses for this," he said.

Shmyhal also noted that Ukraine continued to fully fulfill its social obligations and finance all social payments, including pensions, which were indexed by 8% from March 1.

"Everything will be on time - indexation and payments. And all other social obligations – there are more than 30 of them - are fully fulfilled by Ukraine. We are not delaying social payments, and the entire range of social welfare is being implemented, despite the war," he said.

In 2024, the budget for the social protection of the population foresees UAH 469 billion, not including the part of the collected single social contribution, which goes directly to the Pension Fund of Ukraine.

Photo credit: Denys Shmyhal / Telegram