Kyiv desperately seeks sponsors who will fulfill promises made by the US – Financial Times reported

The months-long political deadlock in the US Congress over the $60 billion aid package to Ukraine has forced Kyiv to desperately seek alternative donors to finance military actions against Russia and prevent substantial cuts in government spending.

This was reported by the Financial Times.

Ukraine has allocated nearly half of its $87 billion budget for this year to defense spending, but its domestic revenues amount to only $46 billion, necessitating covering the deficit through international assistance and cutting non-military expenditures.

The deficit will further increase due to the expected influx of up to 500,000 new recruits, requiring billions more for their salaries, training, and equipment.

“We have almost exhausted our capabilities – all internal resources are used to finance the army,” the Financial Times quotes Roxolana Pidlasa, chair of Ukraine’s parliamentary budget committee.

According to her, Ukraine’s initial plan assumed that aid from the US and the EU would start flowing in January. Hungary delayed the provision of a €50 billion four-year non-military aid package from the EU, which was eventually agreed upon in mid-February.

Due to these delays, Kyiv had to resort to contingency plans. Currently, Ukraine is negotiating assistance with other G7 countries, particularly Japan and Canada.