Ukraine’s construction industry is recovering despite the war.

According to Trading Economics, in 2025 Ukraine’s construction sector shows signs of recovery and growth, despite the challenges posed by the consequences of hostilities and economic instability. Last year, 1.41 million square meters of housing were constructed in Kyiv, which accounts for 14.5% of the national total. The Kyiv region leads with 1.95 million square meters (19.9%). The Lviv region also remains active, with 1.06 million square meters (10.9%). The sector is expected to continue growing in 2026.

The main trends in the industry are:

1. restoration of destroyed infrastructure
2. rising prices for building materials
3. increased demand for energy-efficient and modular buildings
4. the eOselya program, which will continue to drive demand for housing

In 2025, the cost of housing in new buildings may rise by 15-25%, especially in large cities. Kyiv, along with the Kyiv and Lviv regions, are likely to remain leaders, but the Zakarpattia and Ivano-Frankivsk regions may increase their share due to tourism and demand from internal migrants. Attracting investment and enhancing the competitiveness of construction companies will be key factors in the industry’s development.