Crisis August: one third of Ukrainian light industry companies cut production
3 October 2024 11:23
In August 2024, Ukrainian light industry enterprises showed a deterioration in production performance compared to the first half of the year. This is stated in the Analysis of the light industry, conducted by the Institute for Economic Research and Policy Consulting (IER) in September 2024, according to "Komersant Ukrainian"
According to the study, the Index of Production Changes decreased to -0.22. This was the result of a significant decrease in the share of companies reporting production growth – only 10% compared to 34% on average in the first seven months of 2024. At the same time, the share of companies reporting a decline in production increased to almost 33%, compared to 18% in January-July.
The IER experts note that such dynamics may be due to a number of factors, including volatile demand and problems with access to electricity.
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It was in August that Russia launched another massive attack on Ukraine’s energy sector, which resulted in massive power cuts in the country. Although it happened at the end of the month, 65% of businesses reported problems with access to electricity.
