The main factor of the decline began a full-scale quarantine restrictions. And the additional negative contribution formed the reduction of production in agriculture.
National Bank estimated the decline in gross domestic product (GDP) of Ukraine in the second quarter of 2020 at 11% over the same period of 2019. This is stated in the inflation report of the Central Bank, published on his website Thursday, July 30.
It is indicated that the main factor of the decline began a full-scale quarantine restrictions on certain types of activities, and the additional negative contribution formed the reduction of production in agriculture due to the late start of the harvest.
The report shows that the stimulus measures of the Central Bank and the government supported business activity and private consumption.
In NBU argue that with the weakening of quarantine since may began a gradual restoration of both domestic and global economic activity, and the latter, in turn, supported the growth of prices on world commodity markets. In addition, to work full time, have returned most of the domestic enterprises most affected during coronaries of the services sector.
According to the inflation report, at the end of the second quarter produced a considerable budget resources to support the economy and to Finance payments on its debt obligations.
Recall, the national Bank expects the economy to shrink by 6% by the end of 2020. The regulator has lowered its forecast to 1% and also lowered the GDP growth forecast for 2021 from 4.3% to 4%, left at 4% forecast to 2022.