Russia's attacks on energy facilities and rolling blackouts could lead to a larger-than-expected decline in GDP in 2022, Reuters reported citing the Minister of Economy of Ukraine Yuliya Svyrydenko, who arrived in Washington to meet with senior U.S. officials.
According to her, businesses and people in Ukraine are dealing with blackouts of 6 or more hours a day. This affects economic efficiency, as companies cannot work properly.
"If the blackouts are going to continue during the next few weeks, GDP might fall more," Svyrydenko said.
She cited data from the Ministry of Economy, according to which the volume of production in October fell by 39% after a 35% contraction in the August-September timeframe.
Svyrydenko noted that the Ukrainian government will need foreign assistance and is now taking steps to reduce costs by cutting staff and privatizing small state-owned enterprises.