Ukraine’s shadow economy drops below 30 per cent of GDP

The Ministry of Economic Development and Trade of Ukraine has announced that the country’s shadow economy decreased in size during 2018 and now stands at below 30 per cent of GDP, the lowest figure in 10 years.

According to a report published by the Ukrainian government, the highest share of shadow economy, 40 per cent, was recorded in the financial services sector, although the figure decreased by 10 per cent compared to 2017.

Other notable decreases were recorded in the mining sector (eight per cent), trade (five per cent) and real estate (four per cent).

The ministry added that the shadow economy in population expenditure and retail turnover fell by two per cent to 46 per cent while the number of loss making enterprises showed a four-per-cent drop (to 18 per cent).