Revisions to the 2025 Budget: New Funding and Initiatives

The Cabinet of Ministers has registered new proposals regarding the state budget for 2025 in the Verkhovna Rada.

This was announced by the head of the budget committee, Roksolana Pidlasa.

Main points of the government’s final proposal. Expenditures are increasing by 449.8 billion UAH, including:

• +412.4 billion UAH - defense spending (of which +215.9 billion UAH - for the purchase of military equipment),
• +18.1 billion UAH - increase of the reserve fund,
• +4.6 billion UAH - funding for the nutrition of schoolchildren in all regions and grades 5-11 in frontline areas,
• +3.4 billion UAH - a new initiative from the Ministry of Digital Transformation for purchasing equipment testing innovative defense tech solutions,
• +3.1 billion UAH - purchase of medicines for the treatment of cancer and other diseases at the state’s expense,
• +2.77 billion UAH - to increase the charter capital of the Innovation Development Fund (also from the Ministry of Digital Transformation),
• +1.5 billion UAH - subsidy to local budgets for the establishment of military lyceums for patriotic education of children,
• +1.16 billion UAH - support for war veterans and their families (monetary aid and compensation),
• +0.8 billion UAH - continuation of the National Military Memorial Cemetery's establishment,
• +0.65 billion UAH - for the Ministry of Justice's payroll in the penitentiary system.
• According to Roksolana Pidlasa, the changes balance mainly through OVDPs and revenue overperformance:
• 184.9 billion UAH - increase in funds raised from OVDPs,
• 147.5 billion UAH - own budget revenues overperformance, particularly from personal income tax and profit tax,
• 65.1 billion UAH - reduction in OVDP repayment expenditures,
• 46.7 billion UAH - reduction in debt servicing costs,
• 3 billion UAH - reduction in expenditures to ensure state-guaranteed debts.

The Verkhovna Rada is expected to review these changes in the next two weeks.