The Verkhovna Rada of Ukraine adopted the State Budget for 2023, this was announced by Prime Minister of Ukraine Denys Shmyhal. The largest item of expenditure is the army and security of Ukraine. 43% of all funds are directed to this, which is more than UAH 1 trillion.

Yes, in fact it is a huge amount, but it is… less than in 2022, where 40.11% is allocated to defense, and another 15.81% to public order, security and the judiciary, i.e. 45.92% together. 17% will go to social programs and pensions in 2023.

Budget 2023

In 2021 budget these amounts were much more modest – 8.56% for defense and 11.70% for public order, security and the judiciary, for a total of 20.26%. At the same time, 13.50% of the state’s money went to Social Protection of pensioners, that is, pensions in 2021.

A similar situation existed in 2020: defense – 9.35%, public order, security, judiciary – 12.24%, pensions – 15.70%.

Budget 2023

The peculiarity of the 2023 budget is that Ukraine can provide only 51% of expenses with its own revenues. 46% should be made up of financial assistance from allies and international financial organizations. This is also an unprecedented situation in the history of Ukraine.

“The country’s own revenues next year will amount to UAH 1.3 trillion. On the other hand, the expenses are twice as large – 2.6 trillion hryvnias. We expect to close the deficit of 38 billion dollars mainly thanks to the support of our international partners. In particular, the European Union, the USA and the IMF. We will win and rebuild our country,” said Prime Minister of Ukraine Denys Shmyhal.

The Prime Minister noted that despite the war, the government does not plan to raise taxes. Instead, it will reduce expenditures on the state apparatus by more than UAH 10 billion.

Budget 2023