Economic challenges and GDP dynamics in Ukraine from 1991 to 2023: Analysis of growth and recessions

Abstract

The need for a thorough study of the dynamics of economic indicators of gross domestic product (GDP) over more than 30 years of Ukraine's independence is due to a number of reforms, ongoing conflicts in eastern Ukraine, the COVID-19 pandemic and its consequences, the full-scale invasion of Russia, and global macroeconomic trends. The purpose of this study was to analyse in detail the economic processes that have influenced Ukraine's development since independence in terms of GDP dynamics to identify the key factors that contributed to economic growth and recessions. To achieve this goal, a comprehensive analysis of economic statistics, historical data and political events was conducted. The results of the study show that the transition from a Soviet-style planned economy to a market economy was accompanied by significant political and economic disorganization, as well as challenges related to structural changes and privatization processes. The article analyses the dynamics of Ukraine's main economic indicators, including GDP per capita, GDP growth (%) and budget deficit (%) for the period from 1991 to 2023. Key problems such as hyperinflation, budget deficit and public debt are identified, and measures aimed at stabilizing the financial system are explored. The impact of political events, such as the Orange Revolution, the annexation of Crimea, the COVID-19 pandemic, and the full-scale invasion of Russia, on Ukraine's economic development was analysed. The study assessed the role of international financial assistance and foreign direct investment in supporting the country’s economy. The data obtained allowed identifying the main factors that contributed to economic growth and recessions, as well as assessing the effectiveness of reforms and policy decisions. Based on the information collected, recommendations were developed to ensure sustainable economic development in the future. The practical significance of this work is to define key economic factors and develop strategies that can contribute to stable economic growth and sustainable development of Ukraine in the context of a full-scale invasion