On January 14, the twelfth meeting of the Steering Committee of the Ukraine Donor Platform took place online. Discussions focused on ensuring Ukraine's macro-financial stability in 2025, recovery efforts, energy, and the progress of reforms.
The event was attended by Ukrainian Prime Minister Denys Shmyhal, Ukraine's co-chair of the Platform and Minister of Finance Sergii Marchenko, Deputy Prime Minister for Restoration of Ukraine - Minister for Development of Communities and Territories of Ukraine Oleksii Kuleba, Coordinator of US Assistance to Europe, Eurasia, and Central Asia, US Department of State, Maria Longi, and Director-General for Neighborhood and Enlargement Negotiations Gert Jan Koopman from the European Commission. Representatives from partner countries, the European Commission, and international financial institutions were also present.
Canada’s representative, Executive Director, Ukraine Bureau, Global Affairs Canada, Jocelyn Kinnear joined Sergii Marchenko in person during the meeting.
Sergii Marchenko thanked colleagues for their active cooperation within the Platform, which now includes 23 participants, comprising permanent and temporary member countries, observer states, and seven international financial institutions.
During the meeting, Sergii Marchenko presented Ukraine’s financial achievements for 2024 and outlined its key priorities for 2025:
“In 2024, Ukraine continued to respond resiliently to the challenges posed by the full-scale war to its economic and financial systems. The economy demonstrated growth. Tax and customs revenues increased by USD 9.4 billion, or about 6.5% of GDP, compared to 2023. These funds were allocated to meet the country’s military needs. Overall, more than half of the 2024 budget expenditures were directed towards the security and defense sectors. External budget support amounted to USD 41.7 billion, enabling full financing of social expenditures.
For 2025, financial challenges remain significant. The Ministry of Finance is implementing measures to increase domestic budget revenues, but international support – estimated at USD 39.3 billion – remains crucial,” Sergii Marchenko stated.
The Minister of Finance expressed gratitude to the G7 countries, the EU, and international financial institutions for the necessary decisions to support Ukraine in meeting its critical budget needs in 2025:
The G7 countries have launched the Extraordinary Revenue Acceleration (ERA) Loans for Ukraine in the amount of USD 50 billion. The funds will be secured by revenues from frozen assets of russia. It is expected that in 2025 Ukraine will attract USD 22 billion of the total amount. The United States has already allocated USD 1 billion, and the European Union has allocated EUR 3 billion.
The EU's Ukraine Facility financial instrument provides EUR 12.5 billion for Ukraine in 2025, of which EUR 1.5 billion is a grant. In 2025, Ukraine should meet 56 indicators from the Ukraine Plan.
The IMF has optimized the schedule of tranches for 2025. This will allow attracting USD 2.7 billion to the State Budget based on the results of four reviews under the IMF EFF Arrangement. Initially, this amount was about USD 1.8 billion based on two reviews.
The meeting also addressed the implementation of reforms in Ukraine. Minister Marchenko emphasized that reforms remain a priority of the Government.
Discussions included the reform of Public Investment Management (PIM), aimed at increasing the efficiency and transparency of recovery projects. The reform involves revising project selection criteria for state investments.
In 2024, Ukraine approved the 2025 Single Project Pipeline, consisting of 769 projects with a total value exceeding USD 60 billion. Of these, 92 projects have been selected for Government financing.
The Minister of Finance called on partners to invest in key sectors such as transport, water supply, energy, healthcare, education, and social protection.
“A comprehensive approach to reforms is critical for economic growth and Ukraine’s integration into the European Union. In 2024, Ukraine completed 200 actions outlined in the Reforms Matrix. To ensure transparency and accountability, the Ministry of Finance regularly updates the Reforms Matrix, which systematizes all reform measures and supports their effective implementation,” Sergii Marchenko stated.
Platform participants reaffirmed their steadfast support for Ukraine and their readiness to explore new mechanisms to meet the country’s financial and other needs.