Photo: facebook.com_zelenskyy.official
The Ukrainian government has changed the priorities for state spending as some planned international funding has been delayed, Prime Minister Serhii Koretskyi said on September 28.
According to Koretskyi, Ukraine’s public finances remain under pressure because part of the expected international funding has not yet arrived. He said this was partly linked to delays in fulfilling some commitments made by Ukraine to its international partners.
“Under these circumstances, we continue to take strict crisis measures to provide for the most important needs: defense and the needs of our people,” Koretskyi said.
The government has designated four categories as the highest spending priorities: defense, pensions, social benefits, and salaries for teachers, doctors and other public-sector employees.
Noncritical spending postponed
The government will temporarily postpone spending that is considered nonessential, including new construction projects, noncritical reconstruction and major repairs, and public-space improvements such as parks, squares, fountains and replacing paving stones.
“We will certainly do all of this, but for now, all resources must go to critical priorities. It is time to stop spending money on things that are not priorities,” Koretskyi said.
He also called on local governments to review the priorities of their own budgets and restrict spending that is not currently essential.
Government seeks to unlock international funding
Koretskyi said the government was continuing work to fulfill Ukraine’s commitments and secure the delayed international financing, including through cooperation with parliament.
The government has previously warned of significant financing pressures. In September, Koretskyi said Ukraine faced a $27 billion shortfall in defense funding for 2026 and that part of the gap would have to be covered through domestic savings and reallocations, with the remainder sought from international partners.
Ukraine received a further €3.3 billion tranche from the European Union on September 18 under the Ukraine Support Loan, with the government saying the funds would be directed toward defense priorities, including missiles and drones.
The latest spending restrictions are intended to preserve funding for defense and essential social obligations while Kyiv works to unlock additional external financing.
