Russia’s full-scale war of aggression on February 24, 2022 significantly impacted Ukraine during the reporting period. Occupying up to one-fifth of Ukraine’s territory, Russia devastated entire areas with continuous artillery shelling, targeting civilian infrastructure, residential areas and medical facilities. Despite the provision of humanitarian, financial and military aid by an international coalition of democratic states, Ukraine’s needs remain pressing and substantial.
The war hit the Ukrainian economy hard, causing a drop of over 30% in real GDP in 2022. International assistance has become the key to the country’s survival after its defense expenses grew tenfold, reaching nearly half of the overall fiscal spending. In 2022, Ukraine received approximately $32 billion in international funds, not including military assistance.
Ukraine’s strategic priorities shifted in response to the full-scale Russian war of aggression. The country became an EU candidate on June 23, 2022 and applied for NATO membership in September 2022. The EU candidacy has driven reforms, notably in the judiciary, media laws and anti-corruption bodies. Sectoral integration with the EU has also progressed, with Ukraine joining key European networks.
