September 15, 2025
Defense spending to increase by almost UAH 170 billion - Draft Budget 2026 thumbnail
Economy

Defense spending to increase by almost UAH 170 billion – Draft Budget 2026

Defense spending to increase by almost UAH 170 billion – Draft Budget 2026In 2026, the Cabinet of Ministers plans to increase defense spending by almost UAH 170 billion, to UAH 2.8 trillion, which will
amount to 27.2% of GDP. The focus continues to be on financing the domestic defense-industrial complex, in particular on the
production of ammunition and missile weapons.

”, — write: unn.ua

In 2026, the Cabinet of Ministers plans to increase defense spending by almost UAH 170 billion, which will amount to UAH 2.8 trillion, or 27.2% of GDP. This was reported by the Ministry of Finance, according to UNN.

DetailsAccording to the draft law, UAH 2 trillion 805.8 billion is planned to be allocated for defense and security, which is 27.2% of GDP. This is UAH 168.6 billion more than in 2025.

UAH 2.3 trillion is planned to be allocated from the general fund, UAH 220.4 billion from the special fund, including UAH 125.3 billion from military personal income tax. UAH 200 billion is a reserve (UAH 140.0 billion from the general fund, UAH 60.0 billion from the special fund), and UAH 30 billion is state guarantees.

We also continue to focus on financing the domestic defense-industrial complex, in particular, UAH 44.3 billion is provided in the project for the production of ammunition, missile weapons, anti-missile defense, aviation and armored vehicles (UAH 36.7 billion due to the crediting of military personal income tax to the special fund of the state budget)

RecallThe Government of Ukraine approved the draft State Budget for 2026, which provides for expenditures of UAH 4.8 trillion and revenues of UAH 2.826 trillion. The budget deficit is projected at 18.4% of GDP, and the need for external financing is UAH 2.079 trillion.

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