The state budget of Ukraine for 2025 is designed to ensure stability despite the ongoing war challenges.
Meeting the needs of the security and defense sector is the Ministry of Finance's top priority. Over ₴2.2 trillion (26.3% of GDP) is allocated to defense for the coming year, including ₴740 billion for weapons procurement, fully covering annual needs, and nearly ₴50 billion for the production and acquisition of drones.
At the same time, the budget accounts for social and humanitarian needs as well as economic recovery measures.
The budget combines domestic resources with confirmed international support, enabling the funding of all planned expenditures.
Partner support under the Extraordinary Revenue Acceleration for Ukraine (ERA) programme plays a critical role. This mechanism involves receiving $50 billion from G7 countries, with repayments drawn from the proceeds of frozen Russian assets.
The planned contributions include $20 billion from the U.S., $20 billion from the EU, $3 billion from the UK, $3.7 billion from Canada, and $3 billion from Japan.
A unique feature of the programme allows portions of these funds (from the EU and the UK) to be directly allocated to defense needs. Combined with internal resources, including those from recently approved tax code amendments, this approach bolsters Ukraine’s military capabilities and addresses all critical needs of the defense forces.
This strategy ensures Ukraine's financial resilience, enabling effective wartime responses while laying the foundation for economic recovery.
