Ukraine Submits Record 2027 Budget as Finance Minister Warns of Cash Strain
Ukraine's Cabinet of Ministers submitted a record $162 billion budget for 2027 to parliament, with defense spending set at 43.8% of GDP. Finance Minister Serhiy Marchenko warned lawmakers of a possible liquidity crisis before the year ends, citing a $27 billion defense ministry funding gap, a $1.6 billion tax shortfall, and a $32.6 billion financing gap still being negotiated with partners for…
Ukraine submitted its 2027 budget, projected at a record Hr.7.3 trillion ($162.1 billion), as finance minister Serhiy Marchenko warned of a cash shortage before the end of 2026. This marks Ukraine's fifth wartime budget and calls for spending of over Hr.7 trillion, with defense spending accounting for 43.8% of the GDP. The budget assumes continued Russian aggression throughout 2027, with the ministry anticipating $52 billion in international aid, of which only $19.4 billion is secured.
The remaining $32.6 billion gap will be covered by domestic sources. The budget also includes measures to tax low-value parcel imports and compensate regions for utility service tariffs, aiming to support domestic producers and ease financial burdens. Defense spending is set to reach Hr.4.9 billion ($108.9 billion), up 11.9% from the 2026 revised plan, with significant allocations for weapons, military equipment, salaries, and technological advancements.
Ukraine must also address a $27 billion defense funding gap this year and a Hr.10.1 billion ($214 million) allocation to the Innovation Development Fund, which supports defense tech, equipment, robotics, and research and development.
Written by urgent.news from Kyiv Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
