State budget general fund expenditure grows 21.5% in H1 - Ukrainian MinFin

MOSCOW. July 21 (Interfax) - The Ukrainian state budget general fund's expenditure was UAH 1.9 trillion in H1 2025, up 21.5% from UAH 337.4 billion in the same period last year, Ukrainian reported, quoting a Finance Ministry statement.

"The state budget general fund's expenditure on security and defense for January-June 2025 amounted to UAH 1.2 trillion, or 62.5% of all general fund expenditure, including UAH 187.6 billion, or 55.6%, in June," the ministry said.

The Finance Ministry for the second time removed from the report more specific data on salaries for the military, purchases of military equipment, weapons, ammunition, defense products, as well as some other data, such as transfers to the National Health Service of Ukraine, the Pension Fund and the Entrepreneurship Development Fund.

According to the condensed report, general fund expenditure in June was UAH 337.4 billion, which is UAH 50.7 billion, or 17.7% more than in June 2024 but UAH 15.4 billion or 4.4% less than in May 2025.

In the expenditure structure by economic classification, the largest allocations were UAH 734.5 billion for salaries and related charges, including UAH 127.2 billion in June, or 39.2% of total expenditure for H1 2025. This rose by UAH 134.2 billion, or 34.2%, compared to the same period last year, including growth of UAH 21 billion or 19.8% in June.

The expenditure also included UAH 256.6 billion for the use of goods and services, including UAH 43.3 billion in June, or 13.9% of total expenditure, compared with UAH 248.2 billion in H1 2024, including UAH 44.3 billion in June.

Another UAH 313.5 billion went on social security (pensions, benefits, stipends) up UAH 31.5 billion, or 11.2%, compared to the same period last year, including UAH 47.2 billion in June.

There was expenditure of UAH 239 billion for subsidies and current transfers to enterprises (institutions, organizations) or 12.7% of total expenditure, including UAH 34.3 billion in June. This spending rose by UAH 92.6 billion or 63.3% compared with H1 2024.

Other expenditure included UAH 179.8 billion for servicing public debt including UAH 43.2 billion in June, or 9.6% of total expenditure for H1, an increase of UAH 47 billion compared to the same period last year, and UAH 102.1 billion for transfers to local budgets including UAH 29 billion in June, or 5.4% of total expenditure for H1, an increase of UAH 9.8 billion, or 10.6%, compared to the same period last year.

Ukraine had state budget revenue of UAH 1.87 trillion in H1 2025, including UAH 1.3 trillion of General Fund revenue, up 42.0% and 43.0% respectively compared to the previous year,

General fund revenue rose 30.9% or by UAH 513.9 billion to UAH 2.177 trillion in 2024 as a whole, with international grants increasing to UAH 453.6 billion, from UAH 433.9 billion in 2023.

General fund expenditure grew 15% or by UAH 454.5 billion to UAH 3.489 trillion in 2024.

The state budget approved for 2025 targets revenue of UAH 2.327 trillion, including UAH 2.133 trillion to the general fund, excluding grants and international aid, and UAH 3.929 billion of expenditure with UAH 3.592 billion by the general fund.

The government has already proposed to parliament to increase this year's budget expenditure by UAH 400.5 billion and revenue by UAH 147.5 billion.