Inflation in Ukraine will slow down next year to a single-digit figure, for the first time since 2013, according to a Reuters survey. This will happen thanks to a tight monetary and prudent fiscal policy that meets the requirements of the International Monetary Fund, that’s according to the polled experts, Reuters wrote.
According to a median forecast by 15 analysts, in 2019 inflation could drop to 7.5% from 10% expected at the end of 2018, and from 13.7% in 2017.
As reported earlier, in October, Ukraine and the IMF reached an agreement on a new stand-by program worth $3.9 billion. It will replace the Extended Fund Facility program, which expires in the spring of 2019. Officially, the new program has not yet been approved by either the IMF or Ukraine.
The further agreement has yet to be approved by the IMF management and the Executive Board, and only after Ukraine’s Parliament adopts the 2019 state budget. According to the European Bank for Reconstruction and Development, Ukraine’s GDP in 2018 will grow by 3.5% instead of the previously projected 3%. The forecast for 2019 is a 3% GDP growth. (UNIAN/Business World Magazine)