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Ukraine Infrastructure Report Q2 2015

62 Pages BMI Research April 01, 2015 SKU: BMI5478865

Ukraine Infrastructure Report Q2 2015

BMI View: The outlook remains dim for Ukraine's construction sector, with a fourth consecutive year ofdecline expected in 2015. Political and security unrest in the country continues, and it remains to be seenwhether the ceasefire agreed in February 2015 will gain any traction. Regardless of the progress made inthe peace process the country's economy continues to face significanTheadwinds including a weak currencyand lack of international investment, and the threat of a total economic collapse remains. Public spendingon infrastructure is therefore under serious pressure, and despite a significant number of projects in thepipeline, ongoing delays and funding concerns mean we remain sceptical that any plans will come tofruition in the short term.

Key Trends And Developments

The country remains in economic freefall with high uncertainties regarding its security situation cloudingthe outlook for the market, inhibiting investment flows - foreign and domestic. BMI's Ukraine CountryRisk analysts forecast real GDP will contract by 5.2% in 2015.

Residential and non-residential construction value is estimated to contract by 4.5% in real terms in 2015on a year-on-year (y-o-y) basis and infrastructure industry value by 12%.

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Ukraine Infrastructure Report Q2 2015

BMI Research
April 01, 2015

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