Government boosts funding for national security and defense sector

The Cabinet of Ministers of Ukraine approved a bill to increase state budget spending on the security and defense sector. The document says about 537 billion hryvnias of additional funds.

This was reported by the Ministry of Finance of Ukraine.

On March 13, the Cabinet of Ministers approved the draft law “On Amendments to the Law of Ukraine” On the State Budget of Ukraine for 2023 “On providing spending to the security and defense sector”.

The bill was developed to more effectively counteract the armed aggression of the Russian Federation against Ukraine.

After the proposed changes, the total budget for the security and defense sector will be UAH1.67 trillion, or 26.6% of GDP.

The bill provides for an increase in expenditures of the general fund of the state budget by UAH 537.2 billion, including:

• for the security and defense sector – UAH 518.2 billion, of which UAH 477.2 billion – remuneration with charges, special equipment and equipment – UAH 30.2 billion, other expenses – UAH 10.8 billion;
• on the reserve fund – 19.0 billion hryvnias.

According to Prime Minister Denis Shmyhal, at the end of 2022, the government planned to send to the army and security of Ukraine almost 90% of all taxes and fees that citizens and businesses will pay next year.

The budget deficit was planned to be closed thanks to the support of international partners.

“Almost 90% of all taxes and fees paid by citizens and businesses next year will be directed by the government to our army and the security of the country. These are the realities of the 2023 budget that was passed this week,” the Prime Minister said.

In particular, this year, UAH1.1 trillion are planned for the Armed Forces of Ukraine and security.