Real incomes of Ukrainians fell by a quarter and continue to fall – NBU report
Real incomes of the population in Ukraine have fallen amid the war, and the fall in labor income will continue.
This is stated in a new NBU report published in Kyiv.
As indicated by the National Bank, in February, employers paid advances and compensation to employees to help overcome difficulties. However, subsequently labor incomes only decreased.
According to a NBU survey, in May the income of hired workers was almost a quarter less than the pre-war level.
“The incomes of a number of categories of the population, primarily wage earners, have suffered significantly. Their nominal incomes will be restored slowly, while inflation accelerates. Therefore, real incomes of workers will continue to decline,” the National Bank noted.
The only group of Ukrainians whose incomes increased significantly were military personnel, for whom the authorities increased the amount of cash support.
At the same time, as noted, household losses from the war are colossal. Households estimated their well-being had fallen by a third since the start of the war, according to a May Info Sapiens survey.
Earlier, Ukrainian Prime Minister Denis Shmygal stated that due to the war, Ukraine is losing from 35% to 50% of GDP, and daily budget losses reach about 2 billion hryvnia.