Understanding Ukraine’s Economic Destruction
By just focusing on a few key Ukrainian economic indicators, we can start to appreciate the exceedingly harmful impact and distortion that Russia’s war has already had on Ukraine’s economy.
In 2021, prior to Russia’s unprovoked war, Ukraine was already considered one of the poorest countries in Europe.
It had the lowest GNI (Gross National Income)--along with one of the lowest rates of GDP (Gross Domestic Product)---per capita.
Below are just a few of the economic shocks Ukrainians have experienced since Russia began its full-scale invasion of their nation on February 24th 2022:
Over 5,000,000 jobs lost and hundreds of thousands of homes destroyed
Significantly increased costs of living and working, whether in their home country or abroad (as refugees)
Loss of vital public social services due to a severe national budget deficit and increased defense spending
The destruction of thousands of manufacturing facilities, schools, hospitals, and other business locations
Over $100 billion (and rising daily) in material losses due to destruction of critical civilian infrastructure
"Deploying capital during this extraordinary time is essential to keep businesses and vital services running, and when the time is right, prepare for the massive reconstruction efforts to come."
— Makhtar Diop, IFC Managing Director
By just focusing on a few key Ukrainian economic indicators, we can start to appreciate the exceedingly harmful impact and distortion that Russia’s war has already had on Ukraine’s economy.
Enable the survival and future growth of Ukraine’s private sector by increasing employment, average incomes, and catalytic innovation.
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