Page 33 - UKRRptSept19

from 5.6% y/y in June.
The accelerated growth of goods imports was mostly due to the surge in machinery imports of 36.0% y/y (vs. 28.3% y/y growth in June). Meanwhile, mineral product imports declined 9.6% y/y (vs. a 11.2% y/y decline in June).
The financial account surplus enlarged to $1.9bn from $1.6bn in June. In particular, July’s balance of payments reflected receipts from the Eurobond placements by Ukrainian Railway for $0.5bn on July 2 and by Naftogaz for $1bn on July 12.
In July, the surplus of Ukraine’s balance of payments amounted to $1.3bn (vs. $1.2bn in June). In 7M19, the balance of payments surplus amounted to $2.0bn (vs. a $137mn surplus in 7M18).
Ukraine’s goods trade deficit reached $525mn in May, decreasing from $610mn in April, the State Statistics Service said in its preliminary report on July 15. The seasonally adjusted goods trade deficit amounted to $890mn (staying close to the $900mn deficit of April) amid 5.4% m/m growth in adjusted exports and a 4.3% m/m increase in adjusted imports.
In 5M19, the trade deficit reached $2.6bn, enlarging 27.4% y/y. In 5M19, goods exports advanced 7.4% y/y to $20.9bn. Meanwhile, goods imports rose 9.3% y/y to $23.5bn. The agricultural sector remained the major contributor to export growth. In particular, grain exports surged 48.0% y/y and finished food product exports picked up 13.9% y/y. In addition, exports of mineral products increased 17.5% y/y. At the same time, exports of ferrous metals and machinery declined 8.3% y/y and 6.5% y/y, respectively.
Road vehicle and aircraft imports surged 36.9% y/y in 5M19, and remain a major contributor to rising imports overall. In addition, machinery imports rose 6.9% y/y, while imports of mineral fertilizers gained 39.4% y/y.
Exports to the EU grew 7.0% y/y in 5M19, while EU imports increased 10.8% y/y. The share of the EU in Ukraine’s exports and imports amounted to 41.9% and 42.0%, respectively.
33 UKRAINE Country Report September 2019 www.intellinews.com