In 2023, through joint efforts, Ukraine has managed to reverse many of the negative economic trends that emerged as a result of russia’s full-scale aggression. This was emphasised by Prime Minister Denys Shmyhal in his speech at the Kyiv International Economic Forum.

“Inflation has slowed from 26% to 8-9%. We have record international reserves of about USD 40 billion. The deficit has remained at 20% and we know how to finance it next year,” the Head of Government said.

The Prime Minister highlighted six sectors that would form the basis of the future economy: the military-industrial complex, agriculture, energy, IT, construction and machine building.

“The military-industrial complex. We are growing in this sector. We have a large government order. The Ministry of Defence will spend UAH 400 billion on procurement this year and next year. This year, an additional UAH 40 billion has been earmarked for the purchase of drones,” said Denys Shmyhal.

According to the Prime Minister, the agricultural sector accounts for the majority of Ukraine’s foreign exchange earnings. He stressed that processing should become a key factor in GDP growth in the future.

“Energy. We can be a ‘gas safe’ of Europe. Already today, European companies store more than 3 billion cubic metres of gas in our storage facilities. We will be part of the European energy market. Together with Europe and the United States, we are focusing on hydrogen production in the future, which will create additional opportunities,” said Denys Shmyhal.

According to the Prime Minister, IT is one of the areas that has shown great growth last year and this year. Construction will also become an important area as Ukraine rebuilds all housing and infrastructure after the war.

“The sixth industry is our machine building. We will provide incentives from the budget and increase the state order: not only for the security and defence sector, but also for the civilian sector, for the needs of recovery and the functioning of the economy,” the Head of Government stressed.