Ukraine faces a shortfall of up to 10 billion euros this year

Recently, officials announced the receipt of the third installment of financial aid from the IMF, totaling $880 million, with $700 million earmarked for repayment to the Fund. It has since been revealed that the anticipated shortfall in financial assistance from international partners for the following year could range between $10 to $15 billion. Additionally, there is an undisclosed supplementary budget deficit for the current year amounting to 7-10 billion euros, excluding any further mobilization efforts.

Yaroslav Zheleznyak, Deputy Chairman of the parliamentary committee on financial, tax and customs policies, provided an assessment stating that there will likely be a significant disparity between the necessary and available international financing next year, amounting to $10-15 billion. He emphasized that his intention in raising this issue was not to instill fear but rather to underscore the importance of supporting businesses this year as a crucial factor for survival in the upcoming year.

Zheleznyak highlighted the concerning budget figures, noting a deficit of 7-10 billion euros without additional mobilization efforts. This ongoing financial strain is why the IMF continues to express dissatisfaction with Ukraine’s economic performance and persistently urges Kyiv to increase taxes and excises. These measures, however, could potentially lead Ukraine and its citizens into long-term indebtedness.