Ukraine cautiously adapts to a wartime economy as businesses and consumption pick up

Ukraine cautiously adapts to a wartime economy as businesses and consumption pick up

Ms Yelisova was undeterred, spurred by government funding and motivated by helping to rebuild war-torn homes. Within the first three months, she completed 60 projects. 

“One such story was when a man from Irpin came to us. A rocket had hit his home. There was no roof, all the furniture was destroyed. Yet this person continued to live, continued to rebuild his home,” she told CNA. “Clients who shared their own stories inspired me to continue working.”

ECONOMIC RECOVERY DELICATE

However, analysts warned that the economy remains fragile and unpredictable.

“In terms of war, there are high risks both on the negative side and the positive side. Russian aggressors could invent new ways of fighting or conduct terrorist attacks like they did last year with attacks against our energy system,” said Mr Hlib Vyshlinksy, executive director at Ukrainian think tank the Centre For Economic Strategy.

“But also, on the positive side… the Ukrainian military, together with our western allies and other democratic countries, could reach a significant military advantage and push the enemy from occupied territories.”

Enormous challenges still lie ahead for Ukraine, including the costly rebuilding of the country’s devastated cities and a government deficit that will continue to balloon as the war drags on.

For clothes factory owner Mr Yelin, he remains positive his business will continue to grow, even as the conflict will soon enter its third year.

His hope is that someday, the fabrics on his factory’s work stations will not just be the colours worn by soldiers on the battlefield.