The real GDP in Ukraine in the Q3 of this year increased by 1.4% compared to the previous quarter (taking into account the seasonal factor), and by 2.4% compared to the Q3 of 2020. Such operational data are provided by the State Statistics Service.
The real GDP in the Q2 in comparison with the previous quarter decreased by 0.7%, and in annual terms increased by 5.7% (mainly due to the low comparison base).
The nominal GDP in the Q2 amounted to 1,169.4 billion UAH, and the GDP per capita—to 28,189 UAH.
If we analyze the components of GDP for the same periods of 2016 and 2021, it can be noted that the quarterly nominal GDP increased 2.2 times, but inflation played a large role in this growth ranging from 4.1 to 13.7% per year during this period.
The following activities have increased their share in GDP:
- extractive industry—by 2.2 percentage points (pp);
- public administration and defense—by 1.3 pp;
- education—by 1.3 pp;
- wholesale and retail trade and car repairs—by 1 pp.
The following area have decreased their contribution to GDP:
- agriculture, forestry, and fisheries—by 2.3 pp;
- product taxes—by 2.1 pp;
- processing industry—by 1.2 pp;
- transport and logistics—by 1.2 p.p.
And if the decrease in the share of taxes in GDP can be considered a positive change, then the drop in the contribution of agriculture, transport, logistics, and processing industry can hardly be attributed to achievements.
The deterioration of the Ukrainian economy structure is also evidenced by the spike in the share of the extractive industry.
The State Statistics Service does not divide costs on public administration and defense. And if the growth in the share of this area was due to defense, then this is an objective change. But if the relative costs on public administration have increased, then this is the financing of excess bureaucracy.
earlier reported that one of the main obstacles to economic growth in Ukraine was the excessive size of the state.