Ukraine’s President Volodymyr Zelenskyy signed the law on the 2024 state budget of Ukraine.
According to the state budget, Ukraine’s revenues in 2024 will amount to 1,768 trillion Ukrainian hryvnias ($48,8 billion), while expenditures will amount to 3,35 trillion hryvnias ($92,9 billion). This means that the deficit of Ukraine’s budget for the next year is envisaged to be 1,57 trillion hryvnias ($43,6 billion).
External borrowings are envisaged at the level of over 1,5 trillion hryvnias (around $40 billion). The forecast for the GDP level is 4.6%. Inflation is set at 9.7%.
The 2024 budget also provides for expenditures for the development of the defense industry:
- 43 billion hryvnias ($1,2 billion) for the production of unmanned aerial vehicles;
- 43 billion hryvnias for the production of ammunition and weapons.
Funds for the national security and defense sector are covered exclusively by domestic revenues: taxes, customs duties, dividends of state-owned companies, privatization, and funds from the placement of domestic government bonds.
The rest of the expenditures fall within the budget deficit, which is envisaged at 1.57 trillion hryvnias ($43,6 billion). The state budget will be financed by external borrowings (1,67 trillion hryvnias or ($46,3 billion), placement of domestic government bonds (525,9 billion hryvnias or $14,6 billion), and privatization proceeds (4 billion hryvnias or $111 million).
Almost 470 billion hryvnias (over $10 billion) will be allocated for social protection. Nearly 15 billion hryvnias (around $416 million) will be allocated to support veterans, including 1 billion hryvnias ($27,8 million) for prosthetics for soldiers.
Spending on healthcare and education will amount to 201 billion hryvnias ($5,6 billion) and 69 billion hryvnias ($1,9 billion), respectively.
The Verkhovna Rada (Ukraine’s Parliament) adopted the state budget for 2024 on 9 November 2023. A total of 276 MPs voted in favor of the country’s main budget.
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