Ukraine's Cabinet of Ministers has approved a draft law "On the State Budget for 2027," prepared by the Ministry of Finance, which provides for state budget revenues next year of UAH 5.65 trillion, UAH 452.1 billion, or 8.7%, more than the 2026 plan as amended.
Total expenditures will amount to UAH 7.27 trillion, UAH 864.9 billion, or 13.5%, above the current year's figure, according to a statement on the Finance Ministry's website.
According to the statement, the need for international support in 2027 is estimated at $52.6 billion.
The main priority of the draft remains the security and defense sector, to which almost UAH 4.89 trillion (43.8% of GDP) is proposed to be allocated, UAH 517.9 billion more than under the 2026 plan. In particular, UAH 1.79 trillion is earmarked for payroll and related charges (UAH 337.5 billion more than in 2026), almost UAH 2.3 trillion for weapons and military equipment (UAH 1.4 billion more than in 2026), UAH 264.9 billion for a reserve fund (UAH 51.3 billion more), as well as UAH 30 billion for state guarantees for weapons and equipment. Another almost UAH 500 billion is earmarked for other sector expenditures (UAH 127.7 billion more than in 2026).
Prime Minister Serhiy Koretsky also said on Telegram that there are plans to additionally raise at least UAH 1 trillion from partners next year for these needs.
"We expect this to be at least UAH 1 trillion, and that is even more than this year. However, I want to emphasize that the needs of the defense forces for 2027 are significantly higher. The cost of the war is rising. We are working to complete the precise calculations," he wrote.
As the Finance Ministry said, the 2027 budget also substantially increases funding for the social sector, education, health care, veterans policy and support for the economy. In particular, education spending will increase by UAH 58.8 billion to UAH 328.5 billion, which will make it possible to ensure an average monthly salary of UAH 27,300 for an experienced teacher (65% more than in 2026), as well as to finance meals for all students in grades 1 through 11.
Health care will receive UAH 292.5 billion; in particular, thanks to the expansion of the medical guarantees program, the average salary of a specialized-care physician will be at least UAH 30,000.
According to the press release, UAH 540.3 billion is earmarked for social payments and measures of the Ministry of Social Policy (UAH 72.6 billion more than in 2026). Of this amount, UAH 292.8 billion is a transfer to the Pension Fund to pay pension supplements (UAH 41.5 billion more than in 2026), UAH 66.4 billion is for support for people with disabilities and their social integration and prosthetics (UAH 31.9 billion more than this year), UAH 51.9 billion is for increased benefits for children with disabilities and persons with disabilities (UAH 28.3 billion more than provided for in 2026), UAH 11.5 billion is for providing assistive rehabilitation devices and high-functionality prosthetics (UAH 3.6 billion more), and UAH 4 billion is for providing nationwide social services (UAH 2 billion more than this year).
As for expenditures of social funds, the state budget provides for UAH 1.3 trillion (UAH 218.2 billion more than in 2026), including UAH 1.28 trillion (+UAH 213 billion) for Pension Fund expenditures, UAH 31.6 billion for the Unemployment Fund (UAH 5.3 billion above the 2026 figure), and another UAH 1 billion for the State Social Protection Fund for Persons with Disabilities, the Finance Ministry said.
According to the ministry, support for the economy and business will amount to UAH 96 billion (UAH 11.4 billion, or 13.5%, more than in 2026), including UAH 45 billion earmarked for the eOselia program (UAH 12 billion more), UAH 29 billion for the Affordable Loans 5-7-9% program (UAH 1 billion more), and UAH 10.1 billion for the Innovation Development Fund, including Brave1 defense technologies and robotics (UAH 2.1 billion more than in 2026).
UAH 58.7 billion has been reserved for insuring businesses against war risks (UAH 18.7 billion more than in 2026), with the source of revenue being an increase in value-added tax.
The draft also provides for UAH 7.4 billion to support agricultural producers. Another UAH 116 billion is planned to be allocated to state investment projects and programs.
In addition, the draft provides for the partial (25%) restoration of the State Road Fund in the amount of UAH 52.8 billion, as well as the allocation of UAH 18.2 billion to compensate for tariff differences to support regions and public utilities (UAH 2.2 billion, or 13.8%, more than the UAH 16 billion provided for in 2026). The total volume of local budgets in 2027 will amount to UAH 1 trillion 34.5 billion (UAH 84.5 billion, or 8.9%, more than UAH 950 billion in 2026).
