The World Bank forecasts that Ukraine’s economic growth will stabilize at 2% this year, under a baseline scenario that assumes Russia’s invasion will continue until the end of the year, the World Bank said in a report.
“Assuming a ceasefire by 2027, growth is expected to increase to 4% in 2027, 0.5 percentage points lower than its June forecast, reflecting continued high allocation of defense-related resources amid persistent uncertainty,” the World Bank said.
It said that reconstruction investment was projected to be the main driver of growth.
At the same time, the World Bank raised its forecast for global growth this year, saying that the worldwide economy had proven remarkably resilient to shocks in the face of a “historic” escalation of trade tensions.
