The general fund of Ukraine's state budget fell UAH 49.5 billion short of plan in January-September 2026, almost two-thirds of it (UAH 32 billion) in August-September, Budget Committee head Roksolana Pidlasa said in a Facebook post.
"Budget 2026 execution for nine months: the state of budget revenue is deteriorating… The main reason is constant Russian strikes on business," she said.
Revenue from import VAT fell short by UAH 35.7 billion, or 6.8%, VAT on goods produced in Ukraine by UAH 32.9 billion, or 11.4%, domestic excise by UAH 19.1 billion, or 16.5%, and dividends and part of net profit of economic entities by UAH 10.8 billion, or 16%, Pidlasa said.
At the same time, there was overperformance in corporate profit tax of UAH 29 billion, or 12%, and in personal income tax and the military levy of UAH 6.6 billion, or 2.6%, which offsets the shortfall in other taxes, she said.
According to preliminary data, UAH 1.9 trillion was credited to general fund revenue in January-September 2026, excluding international grants, she said.
The biggest sources were import VAT at UAH 491 billion, corporate profit tax at UAH 270 billion, personal income tax and the military levy at UAH 266.3 billion, VAT on goods produced in Ukraine at UAH 255.2 billion, National Bank of Ukraine funds at UAH 146.1 billion, import excise at UAH 134.6 billion, domestic excise at UAH 96.5 billion, dividends and part of net profit of economic entities at UAH 57.1 billion, import duty at UAH 48.4 billion and rent payments at UAH 42.6 billion, Pidlasa said.
About $22 billion in international aid was used to cover general fund spending in January-September, and another UAH 350.6 billion was raised from domestic government bond placements, she said.
The biggest spending categories since the start of 2026 were defense at UAH 2 trillion, or 61.3% of all general fund expenditure, debt repayment (domestic and external) at UAH 427.9 billion, social protection and veteran support (excluding public investment projects) at UAH 342.6 billion, debt servicing (external and domestic) at UAH 275.2 billion, the medical guarantees program and health screening at UAH 144 billion, school teachers' pay (education subvention and top-ups) at UAH 116.7 billion, and basic and additional grants at UAH 48.5 billion, she said.
"Until the second tranche of EU macro-financial assistance ($4.26 billion) is received, the budget situation will remain critical," she said.
The Ukrainian state budget for 2026 was initially adopted with revenue (excluding grants) of UAH 2.90 trillion and expenditure of UAH 4.77 trillion, including UAH 2.61 trillion and UAH 4.38 trillion respectively in the general fund.
In June, parliament raised revenue to UAH 5.20 trillion and expenditure to UAH 6.41 trillion, mainly on the back of a EUR 45 billion EU loan, including UAH 3.38 trillion and UAH 4.50 trillion respectively in the general fund.
Under the International Monetary Fund's Extended Fund Facility program, updated in July, general government revenue is forecast at UAH 6.78 trillion this year, compared with UAH 5.06 trillion last year, and expenditure at UAH 7.94 trillion, compared with UAH 6.63 trillion.
President Volodymyr Zelenskyy, Prime Minister Serhiy Koretsky and representatives of the ruling Servant of the People faction said another increase in defense spending of $27 billion was needed. In September, the government stopped financing capital expenditure because of a funding shortfall.
Total cash expenditure of the general fund reached UAH 2.7 trillion in January-August 2026, compared with UAH 2.23 trillion in January-August 2025, while revenue was almost UAH 2.3 trillion, compared with UAH 1.71 trillion.
