President of Ukraine Petro Poroshenko has noted a grave lack of financing for the national military and industrial complex because the Verkhovna Rada did not pass a measure to direct illegally-gained assets of Ukrainian ex-officials (to the budget).

"In view of the fact that Verkhovna Rada hasn't yet taken a decision on transferring arrested assets stolen by the previous government, for the needs of a defense complex, we unfortunately are today faced with a serious funding shortfall," he said during a meeting with officials and business leaders in Zaporizhia region on Friday.

However, Poroshenko said that Ukraine could be proud of the progress of the producers of the national military and industrial complex.

According to him, large volumes of (arms) exports by Ukraine's military industrial complex provide capital as well as enhancing the prestige of the country's defense sector.

National Security and Defense Council Secretary Oleksandr Turchynov said earlier problems have so far not prevented the production of new types of armament and military hardware, along with the preparing of production capacities to introduce crucial military and technical projects.

Turchynov said that for a country, which for over two years has opposed Russian military aggression, delays on financing the defense orders is unacceptable, since this threatens national security and the defense of Ukraine.

"Due to the lack of responsibility and political will of Ukrainian MPs, a legal mechanism for replenishing special budget funds with frozen financial resources has not been created. We must address the newly-elected Cabinet of Ministers and demand that it immediately amend the state budget 2016, to provide for the distribution of resources and financing of the defense programs from the common state budget fund," Turchynov said.

The NSDC secretary said financial problems occurred because an essential part of the state defense order in budget 2016 is to be allocated from a special fund, created with funds "stolen from the Ukrainian people" by ex-president Viktor Yanukovych and his encirclement.

Turchynov said that these funds (over UAH 1.5 billion) have been frozen in the accounts of Ukrainian banks.