KIEV, Jan. 18 ??“ Ukraine??™s economy expanded 7% on the year in 2006, faster than the government had expected, as robust steel exports had supported the country??™s economic growth, the State Statistics Committee reported.

The government has been steadily increasing its 2006 economic growth forecast from 2.6% in January 2006 to 6% in November 2006, due to growing demand for steel, Ukraine??™s major exports commodity.

Ukraine??™s economy expanded 2.7% on the year in 2005, as world steel prices had dropped thus reducing demand for Ukrainian steel exports, according to the committee.