Ukraine’s 2026 Budget: Risks to Social Security and Economic Stability

Chas Pravdy - 06 October 2025 16:41

Ukraine’s proposed 2026 budget has raised significant concerns among experts and analysts due to its discriminatory approach to social resource allocation.

Planned expenditures do not adequately consider inflation growth and the actual needs of internally displaced persons and other vulnerable groups.

Instead of implementing comprehensive reforms in the social sector, the government prefers one-time payments that are unlikely to ensure long-term stability and citizens’ well-being.

Initiatives like ‘national cashback,’ ‘winter subsidies,’ ‘thousand hryvnias,’ and ‘school starter kits’ are presented as solutions but fall short of addressing pressing social issues.

Furthermore, a large portion of the budget is allocated to aid internally displaced persons, who receive minimal payments of 2000 UAH for adults and 3000 UAH for children and disabled persons since the start of the war.

Experts warn that budget forecasts suggest a potential social support deficit, particularly for veterans and military personnel, with reservations from the Accounting Chamber about possible shortfalls up to 90 billion UAH due to savings on prosthetics and medical treatment for servicemen.

Additionally, disparities in salaries and pensions persist: top officials and members of supervisory boards of state enterprises receive remuneration significantly exceeding the national average salary and pension, deepening social inequalities.

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