Ukraine’s Public Debt Hits $155.56 Billion

Ukraine’s public debt has reached an unprecedented high of $155.56 billion (6.404 trillion hryvnia) by the close of September, according to official Finance Ministry data, marking a 0.56% rise from the previous month.

This record figure reflects the substantial fiscal strain Ukraine continues to face due to ongoing economic and security challenges.

Amid these mounting pressures, Era Dabla-Norris, Assistant Director in the IMF’s Fiscal Affairs Department, has underscored the urgency for Ukraine to reform its tax framework and intensify anti-evasion efforts.

Dabla-Norris highlighted that these reforms are crucial for addressing risks associated with the country’s growing debt obligations.

The Ukrainian government has repeatedly indicated that tax and excise hikes are inevitable in stabilizing its budget. With domestic revenue only covering essential defense costs, external aid remains critical for other national expenditures.

In its 2025 budget proposal to the Rada, the government projects a deficit of 1.6 trillion hryvnia ($38.68 billion) and plans to adjust the hryvnia exchange rate to 45 per dollar, a strategic measure aimed at strengthening Ukraine’s economic position amid persistent inflationary pressures.