Land prices in Ukraine increased by 13% over the year - analysis
Kyiv • UNN
In 2023, the weighted average price of agricultural land in Ukraine amounted to UAH 37 thousand per hectare, up 13% compared to 2022. The price decreased by 2% in the fourth quarter
The weighted average price of agricultural land in 2023 amounted to 37 thousand UAH/ha, which is 13% higher than a year earlier. This is evidenced by the data of the analytical review of the land market of Ukraine for the fourth quarter of 2023 from the Kyiv School of Economics (KSE), UNN reports.
Details
"The weighted average price for agricultural land in 2023 amounted to 37 thousand UAH/ha, which is 13% higher than the year before last (32.8 thousand UAH/ha in 2022)," the report says.
Reportedly, in Q4 2023, the weighted average price of agricultural land decreased by 2% compared to the previous quarter - from 38.5 thousand UAH/ha to 37.7 thousand UAH/ha.
"However, the decline in prices did not affect the land designated for commercial agricultural production, which, on the contrary, rose from 39.1 thousand UAH/ha in Q3 to 39.4 thousand UAH/ha in Q4 2023," the report says.
The weighted average price of agricultural land reportedly "increased by 8.3% during 2023, outpacing the annual inflation rate in Ukraine (5.1% as of 01.12.2023).
Thus, the report states, the nominal capitalization of the market increased by UAH 89.9 billion last year, and by UAH 179 billion since the land market opened in July 2021, "which creates additional opportunities for landowners to raise financing secured by land.
