Ukraine minister: GDP contraction of 39% expected in 2022 vs earlier forecast of 35%

Ukrainian economy minister Yulia Svyrydenko said Russia’s destruction of civilian infrastructure in recent weeks would widen the expected contraction of gross domestic product to 39% from an earlier forecast calling for a 35% drop. ​ Svyrydenko told reporters on Wednesday the Ukrainian government was taking steps to reduce the size of the government that would also include reduction of staff, and privatize smaller state-owned enterprises.

Ukrainian economy minister Yulia Svyrydenko said Russia's destruction of civilian infrastructure in recent weeks would widen the expected contraction of gross domestic product to 39% from an earlier forecast calling for a 35% drop. ​ Svyrydenko told reporters on Wednesday the Ukrainian government was taking steps to reduce the size of the government that would also include reduction of staff, and privatize smaller state-owned enterprises. Svyrydenko, who also serves as first deputy prime minister, said Ukraine is also seeking a yearlong extension of the suspension of U.S. steel tariffs to help Ukrainian steelmakers, who have been hit hard by Russian missile attacks.

Svyrydenko said she discussed the issue with U.S. Trade Representative Katherine Tai during a meeting in Washington earlier on Wednesday. She also met on Tuesday with U.S. Commerce Secretary Gina Raimondo, who pledged continued strong support for Ukraine, including efforts by the U.S. government and private sector to help rebuild Ukraine's civilian infrastructure. (Reporting By Andrea Shalal; Writing by Andrea Shalal and Paul Grant; Editing by Andrea Ricci)