(C) U.S. State Dept This story was originally published by U.S. State Dept and is unaltered. . . . . . . . . . . How Ukraine is Beating the Odds [1] [] Date: 2025-01 Against the backdrop of war, Ukraine’s economy is alive, resilient, and beating the odds. Even as Russia wages its illegal war, Ukraine has demonstrated remarkable economic resilience and growth, showcasing the strength and determination of its people and the impact of its partners in allied countries and the private sector. Economic Resilience and Growth Ukraine’s GDP grew by 5 percent in 2023 and is on track to potentially grow more than 3 percent this year. Key industries have seen significant increases: iron production is up 21 percent and in early 2024 monthly shipments of agricultural exports like sunflower oil, corn, and wheat rivaled pre-war levels. Despite Black Sea attacks, Ukraine has exported more than 100 million tons of goods in 2024, a 36 percent increase compared to the same period in 2023. The investment climate in 2024 has improved over 2023, driven largely by EU membership negotiations, better access to the EU single market and energy system, and significant improvements in user-friendly government services. These efforts provide investors with access to e-residency, easy tax and registration processes, research guides on regulation, and a network of business support centers. A victorious, resurgent Ukraine has the potential to be not just the world’s breadbasket, but its resource hub, IT back office, and, given its energy generation potential and gas storage capacity, perhaps even the power bank of Europe in the midterm. The Role of the Private Sector With assistance from the United States, allies, and partners, Ukraine is creating the conditions for its economic dynamism now. Both American and international businesses have demonstrated confidence in Ukraine’s economic resilience, potential, and long-term prospects. Brand-name U.S. companies are opening new stores. Dry ports are expanding as Ukraine’s export prowess stretches westward on road, river, and rail. Fifty-seven percent of private-sector actors expect the economic situation to remain the same or improve by 2025, reflecting overall business sentiments. In the first half of 2024, 25 Mergers and Acquisitions deals were announced in Ukraine for $510 million total, a 32 percent increase of the total value compared to the same period in 2023. Ukraine’s Greatest Assets Ukraine has much to offer the world economically. It has the world’s largest reserves of black soil currently producing food to feed 400 million people; key energy potential, including Europe’s largest gas storage and 4 trillion cubic meters of fuel reserves; and potential investment opportunities in critical minerals resources like titanium, lithium, and graphite that could be world-class in scale. Ukraine’s greatest asset is its people, with a workforce trained in science, technology, and engineering. In 2023, 37,000 new businesses were registered, more than half founded by women. During one of my recent trips to Kyiv, I met some of these female entrepreneurs. They had growing businesses in technology, healthy snacks, sustainable clothing, and household items, employing hundreds of Ukrainians. These businesses are conquering markets on Etsy and in shops around the world, even in Ukrainian Village in Chicago. What’s more, they have plans to set up production here in the United States. Great to speak with Canada’s business community on the pivotal role of the private sector to rebuild Ukraine. 🇺🇸 and 🇨🇦 continue to support Ukraine to win the war & its future. Check out my remarks & explore highlights from my recent trip to Kyiv below. https://t.co/B6zsMme3AK pic.twitter.com/SCOtL3iTqB — Richard R. Verma (@DepSecStateMR) December 5, 2024 American Support and Collaboration Robust security support is essential for Ukraine. Our defense production here at home has helped meet this need. We have invested in over 117 production lines across more than 31 states, replenishing our stocks with fresh howitzers from Minnesota, Bradley Fighting Vehicles from Alabama, and HIMARS systems from New Jersey, all of which are modernizing our American armed forces. I was privileged to join President Zelenskyy during his visit to a General Dynamics factory in Scranton, Pennsylvania, where the 155mm shells coming off the assembly line are saving Ukrainian lives. President Zelenskyy expressed his gratitude directly to the workers there, highlighting the mutual admiration and respect between Ukrainians and Pennsylvania factory workers, both working round the clock in the service of a just cause. The Path Forward The Biden Administration has been with Ukraine’s defenders, workers, and farmers every step of the way. We have led efforts to support Ukraine’s full-scale economic comeback and create the enabling conditions for the private sector to play a catalytic role in Ukraine’s economic recovery. The United States and our partners continue to work hard to support Ukraine to win the war. The private sector will have a role to play – and an increasingly larger one– in Ukraine’s economic comeback. Even as Russia wages its illegal war, Ukraine’s economic recovery is happening now. [END] --- [1] Url: https://www.state.gov/bureau-of-global-public-affairs/releases/2025/01/how-ukraine-is-beating-the-odds Published and (C) by U.S. State Dept Content appears here under this condition or license: Public Domain. via Magical.Fish Gopher News Feeds: gopher://magical.fish/1/feeds/news/usstate/