Ukraine's economy shows 'resilience' from Russian attacks, IMF says as it backs aid
International Monetary Fund has signed off on an initial loan of $900 million and raised its estimate for the country’s economic growth
FRANKFURT, Germany (AP) — Ukraine's economy is showing “remarkable resilience” following Russian attacks on its electricity infrastructure, officials from the International Monetary Fund said Tuesday as they signed off on an initial loan of $900 million and raised their estimate for the country’s economic growth.
The outlook improved to 1% to 3% growth this year from minus 3% to plus 1% in an earlier assessment in March, said Gavin Gray, the IMF's mission chief to Ukraine.
Inflation is coming down and the hryvna currency is stable despite the massive disruption of the war, Gray said. But he warned that the economic outlook faces “exceptionally high risks.”
“Through the winter, Ukraine faced devastating attacks on its critical infrastructure, and missile strikes continue countrywide,” Gray said in an online news conference. “Despite this, the Ukrainian economy has shown remarkable resilience — economic activity in the first quarter rebounded strongly, as the energy system rapidly recovered from attacks on critical infrastructure, foreign exchange markets stabilized, and inflation started to decline decisively.”
