Ukraine's Verkhovna Rada Approves 2026 State Budget with Focus on Defense and Social Support
Ukraine's Verkhovna Rada has approved the 2026 State Budget, which allocates UAH 4.8 trillion in expenditures against UAH 2.9 trillion in revenue, resulting in a projected budget deficit of 18.4% of GDP. The budget prioritizes defense, security, and social support, with significant funding for social protection, education, and healthcare, while facing challenges such as a heavy reliance on foreign aid and a debt exceeding 100% of GDP.
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On December 3, 2025, Ukraine's Verkhovna Rada adopted the 2026 State Budget Law, increasing total revenue to UAH 2.9 trillion. Expenditures are set at UAH 4.8 trillion, with a projected budget deficit of 18.4% of GDP.
Key budget priorities include defense, security, and social resilience, with significant allocations for social protection (UAH 468.5 billion), education (UAH 278.7 billion), healthcare (UAH 258.6 billion), and IDP support (UAH 72.6 billion). External support needs exceed UAH 2 trillion. Challenges include high dependence on foreign aid, a debt load surpassing 100% of GDP, and limited systemic support for civil society organizations (CSOs).
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