Ukrainian gov't downgrades 2023 GDP forecast to 1 pct

KYIV - The Ukrainian Economy Ministry slashed its forecast for the country's gross domestic product (GDP) growth this year to 1 percent from 3.2 percent estimated earlier, the Interfax-Ukraine news agency reported Monday.

The forecast has been downgraded due to the assumption that the Russia-Ukraine conflict, which had been expected to end in mid-2023, will last "almost the whole year", said Oleksii Sobolev, Ukraine's Deputy Economy Minister.

According to the projection, inflation in Ukraine will decrease to 24 percent this year from 26.6 percent in 2022, Sobolev said.

Earlier, the Ukrainian Economy Ministry projected that inflation in the country will reach 28 percent in 2023.

According to preliminary estimates, Ukraine's GDP declined by a record 30.4 percent last year due to the Russia-Ukraine conflict.