The rate of growth of the Ukrainian economy accelerated in May 2025. Real gross domestic product (GDP) grew by 1.1% year-on-year — compared to May 2024. Such data contains the monthly economic report of the Institute of Economic Research and Political Consultation (IED).
“The State Statistics Service began to publish data on industry more quickly, which allows us to more accurately assess the state of the Ukrainian economy. New data show that growth rates remain low, although certain positive signals are already emerging.” – the report says.
Real gross value added (GVA) growth in the manufacturing sector accelerated, rising 2.4% year-on-year in May, compared to 1.4% in April, following a previous decline in March. In addition, enterprises had fewer difficulties with access to electricity in May.
In the extractive industry, the rate of decline slowed to 10.4% compared to last year, due to a partial recovery in gas production and an increase in production of raw materials for construction. According to the State Statistics Service, retail turnover increased by 4.8% in the first quarter.
In agriculture, real GVA decreased by 2.4% in May compared to the same period last year — the dynamics are similar to April. This is due to the decrease in the production of livestock products by households, which was only partially compensated by the increase in the production of agricultural enterprises.
The IED also reports that real GVA in the transport sector decreased by 6.4% in May compared to last year. In January-May 2025, Ukrzaliznytsia delivered 22.2 million tons of cargo to the ports, of which 12.7 million tons were grain. In particular, 11.4 million tons were exported to ports and through the western borders. This is 30% less than in the same period in 2024.
“The reduction in rail transportation reflects a seasonal trend in the reduction of grain sales in anticipation of the new harvest,” – explained in the IED.
In May, the volume of electricity imports increased by 3.6% compared to April — to 198,000. MWh Regarding the gas sector, the IED warns of the risk of fuel shortages if all production facilities damaged by shelling are not restored. The current shortfall is estimated at about 1 billion euros.
