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Ukraine's budget issues have intensified due to ongoing defence funding needs. A significant shortfall of $27 billion underscores the pressing need for financial support. Recent requests from President Zelenskyy for additional funds have surprised European partners, sparking concerns over spending efficiency. Manufacturers involved in the "E-points" system are still awaiting payments, amounting to hundreds of millions of hryvnias. These fiscal challenges strain Ukraine's financial management during the largest war with Russia since 2022, with crucial impacts on both military salaries and economic stability.
Why is there a budget shortfall in Ukraine's defense spending?
Ukraine is currently facing a significant budget shortfall in defense spending due to ongoing military operations. The war with Russia has necessitated substantial financial commitments, leading to a request for an additional $27 billion by the end of the year. This situation has prompted inquiries from international partners about spending efficiency and fiscal management.
What is causing delays in manufacturer payments in Ukraine?
Delays in manufacturer payments in Ukraine are primarily due to financial constraints within the state's budgeting system. Companies supplying products through the "E-points" system are owed significant sums, ranging from UAH 24 million to hundreds of millions of hryvnias. This backlog affects the cash flow and operational capabilities of these businesses.
How are European partners reacting to Ukraine's financial requests?
European partners have expressed surprise at Ukraine's request for an additional $27 billion for defense. There's a growing concern over how these funds are being utilized and the transparency of the budget allocation process. The EU is seeking detailed explanations to ensure that future financial assistance is effectively deployed.
What measures is Ukraine taking to address the budget deficit?
The Ukrainian government is engaged in high-level discussions to address the budget deficit. Meetings with the leadership of the Verkhovna Rada and all parliamentary factions focus on resolving the fiscal challenges of 2026–2027. The government aims to balance allocations without compromising essential military funding and economic recovery needs.
What is the impact of Ukraine's budget shortfall on military salaries?
Ukraine's budget shortfall significantly impacts military salaries as funds allocated for defense have been exhausted. Reports indicate a 180 billion hryvnia gap in the 2026 state budget for military payments, affecting the remuneration levels compared to previous years and causing concern about the sustainability of defense commitments.
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Intensified Russian attacks have increased Ukraine’s needs, but budget deficit requires explanation, - Chancellor Stoker Austrian Chancellor Christian Stocker acknowledged that the intensification of Russian attacks has increased Ukraine’s needs and suggested that a 90 billion euro loan might not be enough. At the same time, he called for an explanation of the reasons behind the budget deficit. 1 999 20 Previously in trend: Aid to Ukraine from Europe
Zelenskyy urges EU to provide at least €70 billion for defence and weapons in 2027 The war will cost Ukraine €155 billion next year, and the country needs at least an additional €70 billion in EU assistance for defence. 1 667 30 Previously in trend: State budget 2027 budget
Ukraine’s 2027 budget requires over $52 billion in external aid – Koretskyi Ukraine’s external budget financing needs for 2027 exceed $52 billion, with more than $32.6 billion still to be secured. Serhii Koretskyi said this, stressing that the country’s defence capabilities, pension payments, hospital operations and support for businesses depend on these funds. 2 652 30 Previously in trend: 2027 budget
Government allocates additional UAH 60 billion for Defense Forces: UAH 43.5 billion for military pay On October 13, the Cabinet of Ministers allocated an additional UAH 60 billion to fund the Defense Forces. Most of the funds, over UAH 43 billion, were earmarked for military personnel’s pay and support for their families. 615 3 Previously in trend: Budget for the needs of the Armed Forces payments to military
EU and Ukraine identify means to cover budgetary and defence needs for this year The European Commission and Ukraine have identified the means to cover Ukraine’s budgetary and defence needs for 2026. 1 186 3 Previously in trend: Aid to Ukraine from Europe
Zelenskyy warns of possible serious drone shortage for Armed Forces in January–February President Volodymyr Zelenskyy said Ukraine could face difficulties supplying the Armed Forces with drones and missiles in early 2027 if it does not cover its defence budget shortfall in the autumn and in December. 4 250 60 Previously in trend: Production of drones 2027 budget
Government prioritises defence, public sector salaries and social benefits; other areas depend on partner aid – Finance Ministry The government continues to prioritise funding for the security and defence sector, salaries of public sector workers, and social benefits. These expenses are covered by revenues already received by the budget. Funding for other areas depends on assistance from international partners. 3 725 23 Previously in trend: Budget-2026
Ukraine has "astronomical" funding shortfall, but we will find way out – Zelenskyy President Volodymyr Zelenskyy said Ukraine faces an "astronomical" funding shortfall, with insufficient money even to scale up production of drone interceptors. 5 712 74 Previously in trend: State budget 2027 budget
State halted funding for all capital expenditures without warning – Shkil (updated) Autostrada head Maksym Shkil said the state had stopped funding all capital expenditures "without warning, any discussion or dialogue", forcing the company to suspend work at all its sites. 18 069 52 Previously in trend: State budget 2027 budget
Ministry of Finance presents 2027 budget: defence to receive nearly 4.9 trillion hryvnias; teachers’ salaries to rise to 27,300 The Ministry of Finance has published the draft state budget of Ukraine for 2027. 2 383 35 Previously in trend: 2027 budget
2027 budget bill was submitted to Verkhovna Rada The government's draft law "On the State Budget of Ukraine for 2027" was registered with the Verkhovna Rada under No. 16000. 1 114 3 Previously in trend: 2027 budget
To be increased by 22%: More than UAH 1.07 billion allocated in 2027 budget for operations of president and Office of President – Zhelezniak The draft state budget for 2027 provides for increased funding for the operations of the president and the Office of the President. Expenditure will rise by UAH 194.9 million to more than UAH 1.07 billion. 3 329 49 Previously in trend: 2027 budget
Koretskyi warns of toughest winter since independence: Ukraine needs funding and air defense Ukraine will face major cuts to its defense budget unless lawmakers adopt unpopular measures needed to unlock billions of dollars in Western aid ahead of winter. 3 132 51 Previously in trend: State budget Budget-2026
Situation with state finances is close to critical – Koretskyi Prime Minister Serhii Koretskyi said that the situation with state finances is close to critical and once again called on all MPs to pass as soon as possible the bills on which the receipt of international financial assistance depends. 9 067 88 Previously in trend: Budget-2026
State owes manufacturers hundreds of millions of hryvnias for "E-points" – Ukrainian Council of Defence Industry Manufacturers supplied their products through the "E-points" system but cannot receive payment for them. The amounts owed to individual companies range from UAH 24 million to hundreds of millions of hryvnias. 63 0 Previously in trend: Drone industry
EU surprised by Ukraine’s request for additional $27 billion for defence, seeks to determine how shortfall arose – NYT President Volodymyr Zelenskyy informed European partners about Ukraine's additional need for $27 billion by the end of the year. Ukraine's request surprised European partners. Questions are arising in the EU regarding the efficiency of spending and the justification for new financial requests. 30 147 133 Previously in trend: Defense Forces funding State budget Budget-2026
Ukraine’s defence budget deficit stands at 23 billion euros, - Khmara Ukraine’s Minister of Defence, Yevhen Khmara, has stated that the total shortfall in the state’s defence budget stands at 23 billion euros. 4 158 33 Previously in trend: Defense State budget Budget-2026
There is not enough money in budget to pay salaries, - Finance Minister Marchenko Ukraine’s financial situation is now at its most critical point since the start of the major war with Russia in 2022. 17 332 187 Previously in trend: State budget
Aware of $27 billion ’shortfall’, money was spent on marathon and cashback – Zhelezniak put four questions to Zelenskyy regarding funding shortfall for Armed Forces of Ukraine In Ukraine, the funding shortfall for the Armed Forces has reached 27 billion dollars, and the funds allocated to the Ministry of Defence have already been exhausted. Due to this ‘hole’ in the budget, questions are being raised with President Volodymyr Zelenskyy regarding the inefficient... 10 600 74 Previously in trend: Budget 2013 payments to military
Defence Forces funding shortfall stands at $27 billion, Defence Ministry has spent budgeted funds – Zelenskyy The Ministry of Defence of Ukraine has already spent the funds budgeted through the end of 2026. The overall funding shortfall for the Defence Forces currently stands at USD 27 billion. 9 915 71 Previously in trend: State budget Budget-2026
PM holds meeting with Rada leadership and factions on 2026–2027 budget Ukrainian Prime Minister Serhii Koretskyi held a meeting with the leadership of the Verkhovna Rada and the leaders of all parliamentary factions and groups on budget challenges for 2026–2027. The finance minister and economy minister also attended the meeting. 758 7
Large-scale embezzlement of over 1.2 billion hryvnias from budget has been uncovered, - Kravchenko. PHOTOS As part of the ‘Budget’ special operation, law enforcement agencies have reported 259 suspects and over 1.2 billion hryvnias in losses to the state across various sectors. 3 028 25 Previously in trend: Corruption in Ukraine
European Commission has allocated billions of euros in EU budget for 2027 to support Ukraine The European Commission has proposed setting the European Union’s budget for 2027 at €200 billion. 879 6 Previously in trend: Ukraine Facility
There is 180 billion hryvnia ’hole’ in 2026 state budget for military salaries; there are not even enough funds to match last year’s level of payments, – Zhelezniak The Cabinet of Ministers is refusing to allocate the necessary funds in the amendments to the 2026 State Budget, creating a massive funding shortfall for the army. The government has not set aside any funds at all for increasing payments to military personnel. 15 298 101 Previously in trend: payments to military State budget
Rada approved record increase in defense budget by 1.56 trillion hryvnias The Verkhovna Rada approved in the first reading a bill on amendments to the state budget, which calls for an increase in spending of 1.56 trillion hryvnias. 4 383 17 Previously in trend: Defense expenditures
55 billion on "Vova’s thousands": media calculated what country could have received instead State budget spending on various programs to support citizens, including "cashback" schemes and one-off payments, is approaching the level of expenditure on key social sectors. At the same time, experts point to their limited economic effect. 3 411 22
State budget received over UAH 1 trillion in four months, with grants providing significant share In January-April 2026, UAH 1.04 trillion was received by the general fund of Ukraine’s state budget. 471 1 Previously in trend: Aid to Ukraine
Russia has spent approximately $550 billion on full-scale war against Ukraine, - FIS Since the start of its full-scale invasion, Russia has spent approximately $550 billion on the war against Ukraine. 2 253 23 Previously in trend: State of Russian economy
Svyrydenko: Next year, 2.8 trillion hryvnias will be allocated to army – that is almost 60% of all expenditures In 2026, 2.8 trillion hryvnia will be allocated to the army, which is almost 60% of all expenditures. 1 117 6 Previously in trend: Budget-2026
Zhelezniak explains why he will vote against Budget-2026: "I don’t understand how you can leave a hole in army funding" People's Deputy Yaroslav Zhelezniak announced that during the vote on the 2026 Budget, he would press the red button (against). 2 145 13 Previously in trend: Budget-2026
Russia’s 2026 budget deficit may reach $100 billion – Zelenskyy Ukrainian President Volodymyr Zelenskyy said that sanctions targeting Russia’s oil industry could push the Kremlin’s budget deficit next year to as much as $100 billion. 1 550 11 Previously in trend: Sanctions against Russia
U.S. Senate again fails to pass budget — shutdown lasts 28 days The U.S. Senate has failed for the 13th time to pass a short-term budget resolution to restore government funding, Ukrainian Ambassador to the U.S. Olha Stefanishyna reported, according to Censor.NET. 1 597 6 Previously in trend: Threat of shutdown in the USA
Rada adopted the 2026 state budget in the first reading. PHOTO The Verkhovna Rada has adopted the draft state budget for 2026 in the first reading. 632 0 Previously in trend: State budget Budget-2026
US Senate approves defence budget for 2026: Ukraine to receive $500 million in aid The US Senate has approved the defence budget for the 2026 fiscal year, which provides for the allocation of $500 million to support Ukraine. 4 331 29 Previously in trend: US aid to Ukraine
3,339 amendments to 2026 budget: MPs break 2007 record – Pidlasa Ukrainian lawmakers have broken a 19-year record by submitting 3,339 amendments to the draft state budget for 2026, setting a new all-time high. 1 417 12 Previously in trend: Amendments to the State Budget
Russia’s military budget cut for first time since full-scale invasion of Ukraine - NYT Russia's military budget will shrink for the first time since the start of its full-scale invasion of Ukraine in 2026. This indicates that the Kremlin has reached the limits of its ability to finance the war amid growing economic pressure. 2 091 2 Previously in trend: Russia’s expenditure on war
Netherlands to increase defense budget to 2.2% of GDP: part of funds to help Ukraine In the draft budget for 2026, the Dutch government announced a significant increase in defense spending to meet NATO targets. 722 1 Previously in trend: Defense expenditures NATO defense spending
Rada votes to increase funding for Ukraine’s Armed Forces The Verkhovna Rada approved bill No. 13573 amending the 2025 state budget, which provides for an increase in defense expenditures by UAH 412 billion. 1 262 1 Previously in trend: Defense expenditures
EU allocates 100 billion euros to support Ukraine in EU budget for 2028-2034 - European Commissioner Kos The European Commission has proposed to allocate 100 billion euros to support Ukraine's reforms, recovery, and European integration in the new seven-year EU budget for 2028-2034. 697 6 Previously in trend: EU support for Ukraine
European Commission plans EU budget for 2028: more than 80 billion euros to help Ukraine - Politico The European Commission has presented a draft of a new seven-year budget of the European Union for the period from 2028, amounting to 1.717 trillion euros, 905 1 Previously in trend: Aid to Ukraine
Cabinet of Ministers allocates nearly UAH 1 trillion for Ukraine’s defense and security from January to May – Shmyhal In the first five months of this year, the government allocated nearly UAH 1 trillion to Ukraine’s defense and security. 548 6 Previously in trend: Defense Forces funding
Kyiv city budget to boost support for Armed Forces of Ukraine by ₴2 billion – Klytschko Kyiv Mayor Vitalii Klytschko has instructed that an additional ₴2 billion be included in the city budget to support the Armed Forces of Ukraine. In addition, at today’s session, the Kyiv City Council approved the allocation of ₴500 million for the needs of Ukrainian defenders — funds that were... 1 028 8 Previously in trend: Support for Armed Forces from the Kyiv community
Information about lack of money for military payments is fake. They will get their salaries according to plan - Ministry of Finance Financing the Armed Forces of Ukraine is an absolute priority for the Ministry of Finance. 2 610 56 Previously in trend: payments to military
Trillions of hryvnias are needed to repel Russian aggression. Needs of Armed Forces are much greater – People’s Deputy of "Holos", warrior Kostenko The needs of the Ukrainian Defense Forces to counter Russia's armed aggression amount to several trillion hryvnias. 3 650 99 Previously in trend: Budget for the needs of the Armed Forces
Ukraine provides itself with almost 40% of its own weapons, and can increase these figures - Sybiha More than a quarter of Ukraine's budget goes to defense. However, it may increase these figures. 3 994 29 Previously in trend: Ukraine’s defense spending
In US, House of Representatives approved 2025 defense budget without extending Lend-Lease The US House of Representatives passed a law on defense spending in 2025, but the adopted version does not include a provision for a landmark for Ukraine. 15 063 110
Government allocates UAH 150 million for procurement of weapons and equipment for DIU The Cabinet of Ministers of Ukraine has allocated UAH 150 million from intellectual property fees for the purchase of weapons and equipment for the Defence Intelligence of Ukraine. 859 5
Russia approves three-year budget with record spending on war The State Duma of the Russian Federation has adopted the law "On the Federal Budget for 2025 and for the planning period 2026-2027". 5 670 27 Previously in trend: War
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