• Українською
  • Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting
    Communications Department of the Secretariat of the CMU, posted 10 November 2023 18:17

    Distinguished colleagues, fellow Ukrainians.

    Yesterday, the Verkhovna Rada adopted the State Budget for 2024. This is the major financial document of the country. This document gives us an understanding of our priorities for the next year and determines where we will allocate resources.

    So, I will start today with nine basic facts about the budget that will give this understanding to all our citizens, all taxpayers, our partners and allies.

    First. Macroeconomic forecast. 

    We expect GDP growth to reach 4.6%. Inflation will be around 10%.

    The average annual dollar exchange rate will be UAH 40.70. The average salary will increase to UAH 21,800.

    Second. Revenues, expenditures, budget deficit. 

    Budget revenues will amount to UAH 1 trillion 780 billion. Citizens and businesses will pay a total of UAH 1 trillion 570 billion in taxes.

    There is an important point here. The total resource for security and defence will amount to UAH 1 trillion 693 billion. This means that when we say that every hryvnia of taxpayers' money goes to ensure our defence, it is literally every hryvnia.

    Total budget expenditures will amount to about UAH 3 trillion 350 billion. This means that we have a deficit of UAH 1 trillion 570 billion.

    We work almost every day to get the support of our partners to finance this deficit.

    We expect to receive USD 5.4 billion from the IMF, EUR 18 billion in financial assistance from the EU, more than USD 10 billion from the United States, and additional budget support from Japan, the United Kingdom, Norway, Belgium, Sweden, Portugal and our other allies.

    Financing the main budget expenditures in the face of such a deficit is a very challenging task, but we managed to cope with it both last year and this year.

    We will work intensively to maintain this trend.

    Third. The main priority of the budget. Defence and security of the country, securing our victory. 

    As I have already said, the total resource for security and defence is UAH 1 trillion 693 billion. This is half of all budget expenditures.

    We need to understand that this is a preliminary planned amount, and we will adjust it depending on the situation. Any additional resources will be used for these purposes.

    Financial support for our defenders will be the main item of expenditure in the entire budget. We are talking about UAH 1 trillion 67 billion.

    Record funding is also provided for the purchase and production of domestic weapons and equipment. We are talking about UAH 448 billion.

    In particular, UAH 51 billion is allocated for the development of our defence industry. UAH 43.3 billion is earmarked for the development and purchase of drones. Many new programmes, new production facilities, new technologies. More ammunition, missiles, equipment and drones. This is the key for us now.

    Fourth. The Government's social policy for the next year. 

    Social spending in the budget will amount to UAH 470 billion. This exceeds this year's figure by UAH 25 billion. We plan to index pensions in March.

    We increase the size of the subsidy programme. Next year, we will allocate UAH 50 billion for this purpose, which is UAH 12 billion more than this year.

    We will enhance the programme of support for low-income families. We will almost double spending on social protection for people with disabilities.

    For the first time, we allocate UAH 1 billion for the development of social services. This is in line with our social transition reform, when the state builds the capacity of people to provide for themselves.

    The next, fifth point is healthcare. 

    Healthcare spending will total UAH 239 billion, which is UAH 31 bi

    llion or 15% more than this year.

    We are adding UAH 16 billion to the medical guarantee programme.

    We will fully meet the stated need of the Ministry of Health for medicines and medical devices for the treatment of cardiovascular and cancer diseases.

    We are launching a pilot project of free dental prosthetics for veterans. We allocate UAH 1 billion for the construction of shelters and safe conditions in hospitals.

    We continue our healthcare reform to improve the quality of medical services in every nook and cranny of our country.

    Sixth. Education. 

    We allocate UAH 179 billion. This is +15% of the 2023 budget.

    We have included an increase in teachers' salaries in the budget. Overall, payments to educators will grow by 21% next year. The average monthly estimated salary of a teacher of the high category will increase from UAH 14. 400 to UAH 17. 400.

    What other important programmes are being continued?

    Construction of shelters - UAH 2.5 billion.

    Continuation of the NUS reform - UAH 1.5 billion.

    Modernisation of school canteens - UAH 1.5 billion.

    New school buses - UAH 1 billion.

    We envisage a 15% increase in funding for science. The main focus is on research, which, in particular, is related to the development of our defence industry. We allocate a total of UAH 9.4 billion for this purpose.

    Seventh. Support for war veterans. 

    We will double the funding in this area. We allocate UAH 14 billion to provide our veterans with the necessary services and support. We are building a new veterans' policy.

    We will fully launch the Veteran's Assistant project, for which we allocate almost UAH 4 billion.

    Rehabilitation and psychological services - UAH 2.6 billion.

    We envisage UAH 6 billion to provide veterans with housing.

    Concessional mortgages for veterans under the eOselia programme will now be extended. Under the eRobota programme, we will continue to provide non-refundable grants for veteran businesses.

    Eighth. These are programmes for economic recovery through business support programmes. 

    The first thing to say is that business taxes will not increase compared to 2021. Despite the war and all the challenges. We understand that we must support the private sector, as it is the backbone of the economy.

    We prolong successful entrepreneurial support programmes and launch new ones.

    UAH 18 billion will be spent on the 5-7-9 soft loan programme.

    UAH 1.4 billion in grants for business development.

    Support for large investment projects - UAH 3 billion.

    Maintaining domestic demand for Ukrainian goods and services - UAH 3 billion.

    Compensation of expenses for humanitarian land demining - UAH 2 billion.

    Development of industrial parks - UAH 1 billion. Compensation for the purchase of Ukrainian-made equipment - UAH 1 billion.

    Moreover, we continue the eOselia programme to stimulate the construction sector.

    Together with our partners, we proceed with the implementation of infrastructure projects.

    We continue to develop logistics.

    All of this is to enable Ukrainian businesses to survive and develop despite the full-scale war.

    Ninth. Support for regions and communities. 

    The resources of local budgets for 2024 will total more than UAH 279 billion. Local budgets will receive approximately UAH 225 billion from personal income tax.

    The Government will allocate additional subsidies of UAH 33.4 billion to local governments to exercise their powers.

    The total resource of local budgets will amount to UAH 62 billion more than in 2021.

    In addition, local governments currently have almost UAH 207 billion on their accounts, and these funds also remain at the disposal of communities.

    To sum up, the budget has been adopted. The priorities have been set. Keep working for our victory!

    Thank you for your attention. Glory to Ukraine!

    Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting Remarks by Prime Minister of Ukraine Denys Shmyhal at the Government meeting