The World Bank assessed the destruction and losses of Ukrainian business as a result of the Russian Federation’s full-scale war against Ukraine

About 20% of Ukrainian business representatives were directly affected by the destruction, while 70% lost income.

This is stated in the report of the World Bank, which is based on a survey of entrepreneurs and an analysis of open sources.

As noted, 70% of respondents experienced a drop in income. On average, the income of enterprises fell by half compared to 2021.

Regionally, the eastern regions were the most affected, where the income fell by three times, the south of the country was affected to a lesser extent, where the drop is recorded on average at the level of 60%, in the western regions this indicator is approximately 40%. As a result of hostilities, approximately 20% of enterprises were destroyed. As in the case of incomes, the east of the country experienced the greatest destruction, where approximately 47% of enterprises met with destruction, to a lesser extent this applies to the southern regions, where the figure is 29%. The industry most affected by the war is metallurgy, which lost more than 60% of its capitalization.

The World Bank also listed the problems faced by Ukrainian business (besides the direct destruction caused by the war):

• problems with energy supply after Russian shelling;
• disruption of logistics due to hostilities and blockade;
• drop in demand;
• shortage of workers due to mobilization and departure abroad;
• lack of finances.

The World Bank predicts a slight recovery for the Ukrainian economy after a decline of more than 30% during 2022. GDP growth of 5% for 2023 is associated with significant state budget expenditures.

It was previously reported that the Ministry of Economy of Ukraine predicts GDP growth by 4.6% and investments by 29.6% in 2024.