EBRD reduces Ukraine GDP growth estimate

Макроэкономика 22.01.2013 The European Bank for Reconstruction and Development (EBRD) lowered its forecast for Ukraine’s 2013 GDP to 1% yoy from 2.5%.It cited an economic slowdown in 2H12 and a faster-than-expected decline in industrial production in December as among the key reasons. Alexander Paraschiy: The EBRD forecast reflects the general trend of continued slowdown of economic growth in Ukraine, which is exacerbated by the sluggish condition of external markets and the government’s domestic policies, which have scared off investors. Private consumption is the only economic pillar that’s reliable in 2013. Still, we are a bit more optimistic than the EBRD and project GDP growth at 2.0% yoy.