Ukraine plans rise in military spending in 2024

Volodymyr Zelenskyy has signed a decree enacting a decision by Ukraine's National Security and Defence Council (NSDC) to allocate at least 21.6 per cent of the 2024 budget to the security and defence sector, as well as to increase spending on the military, Prime reports.

"Provide in the finalization of the draft law of Ukraine 'On the state budget of Ukraine for 2024' the total financial resource to ensure national security and defence of Ukraine in the amount of not less than 21.6 per cent of GDP for the security and defence sector of Ukraine" the text of the decree on the website of Zelenskyy's office states.

The document notes that the financing of military needs in this case should be at a level of at least 1.7 trillion hryvnia ($46.5 billion). The Cabinet of Ministers is also instructed to ensure next year's increase in defence spending "taking into account the military and political situation", to ensure priority funding for strengthening counter-intelligence and the fight against sabotage.

It has also been instructed to take measures to reduce the accounts receivable for the execution of state contracts for the purchase of defence goods, works and services.

Ukrainian Prime Minister Denys Shmygal reported on September 15 that the Ukrainian government had adopted a draft budget for 2024 with record military spending of 45.6 billion dollars, which exceeds the amounts spent on the social sphere, medicine and education. The Ukrainian Finance Ministry reported that Ukraine's draft budget for 2024 envisages spending on security and defence at the level of over $48 billion, which is 23 per cent of GDP.