Salary increases, support for veterans and IDPs: where will the finances be directed in the 2026 state budget?

The Verkhovna Rada of Ukraine has adopted the State Budget of Ukraine for 2026, focusing funding on strategic areas such as defense, social protection, education, healthcare, and economic recovery. The budget was approved in the second reading and supported by 257 MPs.

The total budget expenditure amounts to UAH 4.837 trillion, with a deficit of UAH 1.9 trillion, which is 18.5% of GDP. To cover the deficit, the government plans to attract more than UAH 2 trillion in external loans from international partners.

The bulk of the funds – UAH 2.8 trillion – will be directed to defense and security. The funding will support military salaries, the purchase of weapons and equipment, and allocate UAH 1 billion for shelter in kindergartens.

UAH 468.5 billion is planned for the social sector. It is intended to increase the child birth allowance to UAH 50,000 and the monthly care allowance to UAH 7,000. Separately, UAH 72.6 billion has been allocated to support displaced persons, which includes housing, compensation, social services, and employment programs.

The education sector will receive UAH 278.7 billion, including a 30% increase in teachers’ salaries from January and a new remuneration system that will come into effect from September. The budget also includes expenses for student meals, scholarships, and textbook purchases.

UAH 258.6 billion has been allocated for healthcare, which will provide medical guarantees, free medicines, salaries for doctors, and a health check-up program for people over 40.

Although most deputies supported the budget, some expressed dissatisfaction, particularly over the lack of a salary increase for military personnel and the continued funding for the “United Marathon” television project.

In the future, the Verkhovna Rada will consider draft law No. 5708, which may introduce new rules for the storage and use of civilian weapons in Ukraine.