Additional UAH 300B for defense: VR endorses amendments to state budget in first reading

The Verkhovna Rada of Ukraine has endorsed amendments to the Law of Ukraine ‘On the State Budget of Ukraine for 2023’ regarding the financing of the defense and security sector in the first reading.

The relevant statement was made by the Ukrainian Finance Ministry, an Ukrinform correspondent reports.

The draft bill provides for the increase in state budget expenditures by UAH 328.5 billion, namely UAH 322.5 billion in the general fund and UAH 6.0 billion in the special fund (through the increase in inflows as part of the European Union’s budget support programs) to ensure the implementation of infrastructure restoration projects.

The proposed increase in expenditures is expected to be carried out as follows: by reducing the general fund expenditures, taking into account the proposals of the main treasurers, for a total amount of UAH 11.4 billion, namely in view of savings from public debt service payments totaling UAH 10.7 billion; by increasing the revenues by UAH 26.1 billion (UAH 20.1 billion in the general  fund, UAH 6.0 billion in the special fund through the increase in inflows from the EU’s budget support programs); and by increasing the volume of the general fund state borrowings by UAH 298.8 billion.

Meanwhile, the volume of public debt service payments was raised by UAH 8.2 billion, including the internal debt service payments – by UAH 23.6 billion. The external debt service payments were reduced by UAH 15.4 billion.

Additionally, the draft bill provides for UAH 350 million in financial support for fuel and energy businesses as part of the Energy Ministry’s government-funded program.