Ukraine Allocates 60% of 2025 Budget to Defense

Ukraine has approved its 2025 budget, dedicating a substantial 60% of expenditures to defense and security as the nation braces for the third year of its conflict with Russia.

Ukrainian President Volodymyr Zelensky signed the budget into law on Thursday, marking defense as the top priority in the face of Moscow’s overwhelming military advantage in both manpower and weaponry.

The budget sets aside over $50 billion, or approximately 2.23 trillion hryvnias, for military and security purposes out of a total 3.6 trillion-hryvnia ($87 billion) budget. This allocation includes funding for soldiers' salaries and weapons production.

Prime Minister Denys Shmyhal emphasized on Telegram that the focus remains on defending Ukraine’s sovereignty, with the defense budget reflecting this commitment.

While Ukraine's military expenditure for 2025 is set to exceed its already heightened 2024 defense budget, it remains significantly outpaced by Russia's spending plans. Moscow is preparing to allocate 13.5 trillion rubles ($125 billion) for defense and an additional 3.5 trillion rubles ($32 billion) for internal security in 2025.

Ukraine is also grappling with an anticipated budget deficit of 1.55 trillion hryvnias ($37 billion) in 2025, driven by the economic devastation of the war and mass emigration, which have severely reduced tax revenues.

To bridge the gap between its resources and Moscow’s overwhelming military might, Ukraine remains heavily dependent on financial and military support from Western allies and international institutions.

In addition to its domestic military budget, Ukraine is expected to receive tens of billions of dollars in direct aid for defence and humanitarian efforts.

However, the potential re-election of Donald Trump as US president has introduced uncertainty into future American support. This has raised concerns in Kyiv about the sustainability of its military efforts against Russia without continued aid from Washington.