The Ukraine’s negative balance of trade, with reference to financial results for 2014, was 13.3 billion dollars, according to provisional data from the National Bank of Ukraine, RBK-Ukraine (РБК-Україна) reports.
“The deficit in the consolidated balance of payments reached 13.3 billion US dollars. Given that in 2014 Ukraine received two bailouts worth 4.6 billion US dollars, in total, from the IMF, 3.7 billion US dollars in loans were repaid during a year. As of end of 2014, the international reserves reduced up to 7.5 billion US dollars США, financing imports on a future date, in 1.4 months”, - the message says.
Upon the data from the NBU, in 2014, deficit in the current account dropped by 5.2 billion US dollars (as compared to 16.5 billion US dollars in 2013), due to slow economic growth and decreasing purchasing power of income received by households, ensuing excess of imports over exports.
Export of goods fell by 14.4% - up to 55.6 billion dollars due to deferred production, destroyed transport links in Donbas, a drop in process in the trade markets and worsening of the trade relations with Russia. Exports in Russia decreased by 34.7% (its share reduced up to 17.7% compared to 23.2% in 2013), at the same time import to the EU countries grew by 2.1%, and their share increased from 25.8% up to 30.8%.
Meantime, upon estimates made by the regulator, imports reduced by 27.4% - up to 61.7 billion dollars due to waning real effective exchange rate of hryvnia (by 19.5%) and reduction in domestic demand: retail turnover fell by 8.6%, while manufacturing decreased by 10.7%. Supply of goods from Russia showed the highest decrease (by 45.5%), firstly, due to import of gas (by 63.1%). Import from Russia fell by 20.6% (from 27.4% in 2013), while that from the EU countries went up by 32.4% (from 30.2% in 2013).
Deficit in capital account and financial operations in 2014 was 8.1 billion dollars (debit balance a year ago was 18.5 billion dollars). Deficit, firstly, occurred due to worsening of the investment climate resulted from military action in the east of the country and excessive macroeconomic misbalances, what entailed funds shortage and lacking opportunity for getting loans and loan refinancing in the private sector.
In 2013 the private sector reported trade surplus of 2.6 billion dollars. Roll-over of external liabilities was about 86%.
Net receipts on direct investment reached 413 billion dollars. Figures for January – May showed net investment outflow, but in June – December the expected net receipts, mostly in real economy, made up 1.5 billion dollars.
