Ukraine allocates over a billion hryvnias in additional financial support to local budgets for war-affected regions
The Ukrainian government has approved a strategic redistribution of substantial financial resources aimed at supporting local communities and regions severely impacted by ongoing military actions.
According to the Cabinet of Ministers’ decision, more than 1.4 billion UAH will be allocated for the second quarter of 2025 to provide additional subsidies to cities, regional centers, and territorial communities that have been temporarily occupied or heavily affected by hostilities.
This significant funding is intended to stabilize infrastructure, support economic recovery, and bolster the financial stability of municipalities operating under extraordinary circumstances due to war.The allocated funds are divided into several priority areas.
Donetsk region will receive approximately 395 million UAH to compensate for losses in personal income tax revenue, a key component of local budgets.
Chernihiv region’s oblast budget will benefit from over 435 million UAH to cover urgent expenses, including salaries and utility costs for 25 territorial communities.
Around 442 million UAH will go to 113 communities for reimbursement of losses from property tax, land rent, and the unified tax.
Additionally, specific allocations are planned for communities still recovering from the aftermath of hostilities, including a 3 million UAH aid package for the Calchitsa rural community aimed at supporting war measures and internally displaced persons.These financial injections are crucial for ensuring the resilience and recovery of regions that experienced direct consequences of military aggression, especially those near the frontline or under occupation.
The Ministry of Finance emphasizes that these funds are designed to facilitate the reconstruction of damaged infrastructure, stabilize social services, and provide immediate support to residents affected by the conflict.
The government encourages local authorities to actively utilize the allocated resources to promote further regional development and social stability.
The additional subsidies are part of a broader plan, with an overall budget of over 36.5 billion UAH allocated for post-war recovery and support measures across Ukraine in 2025, managed through quarterly distributions.This move demonstrates a firm commitment from national authorities to mitigate the adverse impacts of war and to sustain the social and economic fabric of the most affected territories, reinforcing Ukraine’s path towards resilience and revitalization.