Ukraine has become the poorest country in Europe: IMF – 24 Channel

Україна стала найбіднішою країною Європи: дані МВФ - 24 Канал

According to a new report of the IMF, Ukraine is the poorest country in Europe. In terms of per capita Ukraine beat Moldova.

This was reported by the economist, which manages a private equity Fund on the US stock market Vladimir Kompaniets on his page in Facebook.

He notes that the new IMF report for October not only increased the GDP of Ukraine, but also revised the GDP of other countries.

Thus, Moldova has changed dramatically, which led to a significant improvement in its results. Moldova now ranks 133 in the world in 2694,469 dollars of GDP per capita, and Ukraine – 134 place in the world for 2656,01 dollars of GDP per capita.

In addition, according to Kolomiets, in Moldova compared to Ukraine significantly large official salary. Thus, in the second quarter of 2018 in Moldova, it was 375,82 dollars (6369.8 lei), but in Ukraine – 325,53 dollars (8529 UAH).

The last place among the countries where the official salary is small, has also received Ukraine.

We will remind, earlier the President of Ukraine Petro Poroshenko said that the Russian-Ukrainian war, which continues in the Donbass, Ukraine’s defense spent 6% of GDP, which is about 200 billion hryvnia.

What is GDP per capita?This index is calculated by dividing the total cost of all items by the number of people living in the country. This figure is needed primarily in order to adequately compare the economic development of different countries depending on the population.

GDP per capita is usually calculated in us dollars based on purchasing power parity of the local currency, i.e. is taken into account not just the market exchange rate, and the number of goods that it can buy. GDP per capita could reflect another important indicator is labour productivity. But to do this, economists usually change the method of calculation and divide the cost of all goods not on the total number of the population, but only on the number of citizens who work.

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