The NBU has assessed the consequences of the continuing electricity shortage: The demand for workers is falling, the number of emigrants is increasing, and economic activity is weakening.

In Ukraine, economic activity weakened in June, and entrepreneurs worsened their business expectations, primarily due to prolonged power outages and a lack of workers in the labor market, according to the NBU’s macroeconomic review.

These factors hurt the food industry, particularly bread production, and also held back the restoration of metallurgy and repair work. Due to long-term power outages, the demand for self-powered products and electronics has increased significantly. In large cities, Ukrainians are more actively visiting restaurants and self-delivery points, which, in a certain way, supports retail trade and the service sector.

However, the negative impact of the electricity shortage has led to a weakening of demand for workers, although the number of vacancies usually increases seasonally during this period, mainly due to the start of the harvest. Also, the lack of electrical illumination could provoke additional emigration in May-June. The number of migrants has increased to 6.6 million people as of June 13.