However, some sectors of the real estate markets warrant close monitoring in some euro area countries, in particular following up on warnings issued by the European Systemic Risk Board. Furthermore, developments in the non-bank financial sector require monitoring as well.
A pickup in investment activity, together with a favorable external price environment, contributed to a recovery in construction and industrial production. At the same time, the impact of the pandemic turned out more persistent and strong. Coupled with the consequences of the surge in natural gas prices, this led to a weaker performance of the Ukrainian economy in H1.