Actual problems of innovative economy and law

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Development trends of the construction industry of Ukraine in conditions of economic instability

# 22 101-104 Download/view the full text of the article

УДК: 69:338.1(477)

DOI: https://doi.org/10.36887/2524-0455-2026-2-22

Horoshchak Nazarii,
Postgraduate Student, Department of Economics, Finance and Accounting,
Private Higher Education Establishment «European University»,
https://orcid.org/0009-0003-2915-0352

Published: 31.05.2026

The current state and development trends of Ukraine’s construction industry amid economic instability and wartime challenges are examined. It is substantiated that the construction sector acts as a system-forming component of the national economy, ensuring the reproduction of fixed assets, generating multiplier effects in related industries, and influencing the dynamics of investment activity and employment. The changes in the construction industry’s share in the structure of gross domestic product are analyzed, highlighting a significant decline in 2022 due to the full-scale war, as well as signs of a gradual recovery in 2023–2024, driven by reconstruction processes and international financial support. The impact of investment, macroeconomic, and institutional factors on the industry’s functioning is evident, particularly in limited access to long-term financing, high credit costs, and declining investor confidence. A strong relationship between construction activity volumes and employment levels is evident, confirming the sector’s labor-intensive nature and sensitivity to crisis conditions. The worsening of labor shortages, a key constraint on development, is driven by demographic trends, migration, and mobilization. It is determined that the current stage of development of the construction industry is characterized by structural transformations, including an increasing share of engineering and reconstruction construction. The necessity of intensifying investment processes, improving financial and credit mechanisms, and developing an effective workforce support system is substantiated as a prerequisite for ensuring the industry’s sustainable development.

Keywords: construction industry; economic instability; investment; gross domestic product; labor market; labor shortage; infrastructure recovery; structural transformations; economic development.

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Quote article, APA style

Horoshchak N. Development trends of the construction industry of Ukraine in conditions of economic instability. Actual problems of innovative economy and law. 2026. №2. 101-104 pp. https://doi.org/10.36887/2524-0455-2026-2-22

Quote article, MLA style

Horoshchak N. Development trends of the construction industry of Ukraine in conditions of economic instability. Actual problems of innovative economy and law. https://doi.org/10.36887/2524-0455-2026-2-22