Ukraine’s economy is on course to contract by almost half this year, the World Bank has said, Trend reports citing The Guardian.
With a blockade of Black Sea ports in the south of Ukraine and the havoc caused to industry in the east, the country’s GDP is projected to shrink by about 45% in 2022.
The Washington-based development organisation said Russia would also fall into recession and many countries surrounding Ukraine would suffer severe hardship, with some pushed to seek outside help from international agencies to prevent them defaulting on existing debts.
The Russian Federation economy is forecast to shrink by 11.2% this year, while output among eastern European countries – including Moldova, Belarus and Ukraine – is expected to be dragged 30.7% lower.
Ukraine’s economy, which depends heavily on agriculture, could be hit further if all access to the Black Sea is cut off by Russian forces, the report said.