Ukrainian finance minister estimates need for additional military expenses at $5 bln in 2024

MOSCOW. May 23 (Interfax) - Budget assistance from the United States has covered social and humanitarian expenses of Ukraine in 2024, but the issue of military expenses remains unresolved and Ukraine needs $5 billion extra, Ukrainian Finance Minister Sergei Marchenko said in the What's up with the Economy podcast of the Center for Economic Strategy on Hromadske Radio, Ukrainian media said.

"For now, I think we can speak about an approximate sum of $5 billion. We are thinking how to compensate for it [the deficit] in the near future," Marchenko said.

The budget bears additional defense expenses, as the respective assistance from partners was minimal in the past six months, he said.

Ukraine has to cover defense expenses on its own, as international budget support does not apply to them, Marchenko said. Revenues from frozen Russian assets are the prospective source of external funding, he said.

Ukraine cannot do without increasing domestic revenues, including fiscal ones, Marchenko said. At the same time, he refused to say what taxes might be increased and how, except for a bill submitted to the Ukrainian parliament to increase excise taxes on fuel and other excisable products.