The Russian incursion in Ukraine caused a severe economic decline from 2014 to 2015, with the country's gross domestic product in 2015 barely surpassing half of what it was in 2013.

In the early 2010s, Ukraine was noted as possessing many of the components of a major European economy, such as rich farmlands,[32][33] a well-developed industrial base, highly trained labour, and a good education system.

[43] Despite these improvements, Ukraine remains the poorest country in Europe,[44] which some have attributed to high corruption levels[45] and the slow pace of economic liberalisation and institutional reform.

[54] Ukraine saw hyperinflation in the early 1990s because of a lack of access to financial markets and massive monetary expansion to finance government spending, while output declined sharply this was catastrophic for the economy because it undid decades of hard-fought economic progress and people became poorer.

[54] Huge output declines and soaring inflation was at the time common to most former Soviet republics, but Ukraine was among the hardest hit by these problems.

[54] Deep recession during the 1990s led to a relatively high poverty rate, but beginning in 2001, seven straight years of economic growth, raised the living standard for most citizens.

A World Bank report in 2007 noted that: "Ukraine recorded one of the sharpest declines in poverty of any transition economy in recent years.

[54] An effect of this was that Ukrainian assets began to look like a large economic bubble and high inflation started to damage Ukraine's export competitiveness.

[34] Ukraine benefited from very low labour costs, slightly lower tariffs, and high prices of its main export goods, but at the same time faced notably higher non-tariff barriers.

[85] In May 2016, the IMF mission chief for Ukraine, Ron van Rood, stated that reduction of corruption was a key test for continued international support.

[87] In October of the same year, a survey of potential foreign investors conducted by Dragon Capital identified corruption and lack of trust in the judiciary as the largest obstacles to investment.

Ukraine has demonstrated timely access to fiscal and external financing, improving macroeconomic stability, and declining public indebtedness.

[106] President Volodymyr Zelenskyy warned that if the Ukrainian parliament did not restore these anti-corruption laws, foreign aid, loans and visa-free travel to the European Union were at risk.

Although oil and natural gas reserves in Ukraine are largely exhausted,[17] it has other important energy sources, such as coal, hydroelectricity, and nuclear-fuel raw materials.

[125] Ukraine is home to companies operating in around 20 major industries, namely power generation, fuel, ferrous and non-ferrous metallurgy, chemical and petrochemical and gas, machine building and metal-working, forest, wood-working and wood pulp and paper, construction materials, light, food, and others.

[142] The signing of recent large contracts may put Ukraine into 6th place among biggest arms traders, after the United States, Russia, France, Germany, and Israel.

Reform of the still inefficient and opaque energy sector was a major objective of the International Monetary Fund (IMF) and World Bank programs with Ukraine.

[157][158] State support and the opening of free economic zones, foremost at enterprises based in Mykolaiv were a crucial recent development in Ukraine's shipbuilding industry.

Within the Mykolaiv Special Economic Zone, enterprises like Damen Shipyards Okean, Chornomorskyi (Black Sea) Shipbuilding Plant (defunct since 2021), 61 Communards Shipbuilding Plant, as well as the Veselka (Rainbow) paint and insulation enterprise are implementing investment projects targeted to raise efficiency and quality in primarily export-oriented vessels through production upgrades.

Despite being a top 10 world producer of several crops such as wheat and corn Ukraine still only ranks 24 out of 112 nations measured in terms of overall agricultural production.

In 2014, Ukraine lost control over portions of several regions to Russia, followed by the start of the war in Donbas and the annexation of Crimea by the Russian Federation,[nb 3] hence the actual available crop yield was closer to 60.5 million metric tons.

[180] According to the IT sector report of 2019, Ukraine is the largest exporter of IT services in Europe, and ranks among the 25 most attractive countries for software development worldwide.

The mobile-cellular telephone system's expansion has slowed, largely due to saturation of the market which has reached 144 mobile phone subscriptions per 100 people.

[192] Ukraine has impressive landscapes, ruins of ancient castles, historical parks, vineyards where they produce native wines, unique structures such as Saint Sophia Cathedral or Chersonesos.

[205] According to the Global Competitiveness Report of 2012–2013, "the country's most important challenge is the needed overhaul of its institutional framework, which cannot be relied on because it suffers from red tape, lack of transparency, and favouritism.

"[206] In reports by the Kyiv Post in 2010 and 2011 respectively, a "double taxation avoidance" treaty with Cyprus signed in 1982 by the Soviet Union has cost Ukraine billions of U.S. dollars of tax revenues.

[213] Ukraine has a Ministry of Environment[214] and has introduced a pollution fee system that levies taxes on air and water emissions and solid waste disposal.

[215] In November 2001, Ukraine withdrew an application it had made to the EBRD for funding to complete two new reactor units to compensate for the energy once produced by Chernobyl.

Thirty-six thousand tons of waste, including toxic chemicals such as copper and zinc, have entered water bodies, posing dangers to human organs and the nervous system.

Exchange rates: hryvnia per US$1 – 22 (2015), 7.97 (2009), 5.05 (2007), 5.05 (2006), 5.13 (2005), 5.33 (May 2004), 5.30 (October 2002), 5.59 (February 2000), 5.3811 (January 2000), 4.1304 (1999), 2.4495 (1998), 1.8617 (1997), 1.8295 (1996), 1.4731 (1995) Minimum wage: ₴6,000/ ~$210 per month (from 2021 to 2001–01) Average salary by region World portal