Financial support for communities: Government approves allocation of over UAH 270 million in additional subsidies

The Cabinet of Ministers of Ukraine has adopted, a draft resolution prepared by the Ministry of Finance of Ukraine, “On the Approval of the Distribution of Additional Subsidies from the State Budget to Local Budgets for the Exercise of Local Self-Government Powers in De-occupied, Temporarily Occupied, and Other Territories of Ukraine That Have Suffered Adverse Effects Due to the Full-Scale Armed Aggression of the russian federation.”

The mechanism for distributing the additional subsidy takes into account the needs of de-occupied, temporarily occupied, and frontline territories, as well as communities that have been negatively affected by the war or have accepted relocated institutions. Its goal is to reduce disparities in local budget revenues and support the financing of priority expenditures in the areas of education, healthcare, and social protection.

The document provides for the distribution of UAH 273.2 million in additional subsidies from the state budget to local budgets in accordance with Resolution No. 80 of the Cabinet of Ministers of Ukraine dated January 28, 2026, specifically:

• for the regional budgets of Donetsk and Luhansk regions — UAH 33.5 million;
• for 39 budgets of urban territorial communities — UAH 157.3 million;
• for 74 budgets of rural and settlement territorial communities — UAH 82.4 million.

It should be noted that last month, the Government prioritized the payment of salaries to educators and social sector workers by allocating funds from specific additional subsidies from the State Budget to local budgets. Additionally, in 2026, the budget program envisages UAH 30.4 billion for additional subsidies from the State Budget to local budgets. Of this amount, nearly UAH 13 billion had already been allocated upon approval of the 2026 State Budget.