The Cabinet of Ministers has released a forecast for prices and wages through 2029

The Cabinet of Ministers approved the Budget Declaration for 2027–2029, which sets out the key parameters of the state’s financial policy for the medium term. The document is based on two scenarios: a baseline scenario, which anticipates a significant improvement in the security situation starting in 2027, and an alternative resilience scenario in the event of a prolonged war. 

According to the baseline forecast, Ukraine’s real gross domestic product will grow by 4.5% in 2027, 5.3% in 2028, and 6.7% in 2029, while nominal GDP will increase to 14.95 trillion UAH. 

One of the key objectives is fiscal consolidation, which will reduce the government budget deficit from 18.5% of GDP in 2026 to 5.5% of GDP in 2029. Budget revenues are expected to grow steadily and reach 3.73 trillion UAH by the end of the three-year period, driven in particular by an increase in exports of goods and services to $77.5 billion.

In the social sphere, the Cabinet of Ministers expects inflation to fall to 5.1% in 2029. The government also expects a gradual increase in household incomes. The average monthly wage is projected to rise from 35,010 UAH in 2027 to 44,083 UAH in 2029. At the same time, inflation is expected to slow from 8.9% at the end of 2027 to 5.1% at the end of 2029.

The implementation of these plans is aligned with IMF programs and the Ukraine Facility, and in 2027, the country expects to receive 45 billion euros in aid from the European Union. The document will then be submitted to the Verkhovna Rada for consideration.

This was reported by the Ministry of Finance.

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