Ukraine's economy is beginning to adapt to the war. This is due to uninterrupted funding from the West, the New York Times reports.
The article says that Ukraine's production is still significantly lower than before the war.
After Russia's full-scale invasion, Ukraine's economy shrank by a third in 2022, but will grow by about 3.5% this year, the World Bank predicts. The growth is driven by increased domestic spending and supported by foreign aid.
Economists say it will take many years for Ukraine's economy to return to pre-war levels, and forecasts during a war will inevitably be uncertain.
"Huge challenges lie ahead, including the costly rebuilding of the country's devastated cities, a government deficit that will continue to grow as the war drags on, and a labor shortage caused by the outflow of Ukrainians fleeing the war and the mobilization of working-age citizens," the NYT writes.
However, local analysts and businessmen "have developed a sense of resilience and relative stability."
The World Bank estimates that private consumption in Ukraine will grow by 5% this year after declining by more than a quarter last year.
"Today, most Ukrainians realize that the war may drag on, and they need to continue living in these new circumstances," a Ukrainian businessman commented to the publication.
