Ukraine will increase funding for the defense industry to a record 55 billion hryvnias in 2025

In 2025, Ukraine plans to allocate over 55 billion hryvnias for the production of weapons and military equipment. This will be the largest budget for these purposes in the history of independent Ukraine, which significantly exceeds the amount set aside for these needs in 2024. This was announced by the Minister of Strategic Industry Herman Smetanin.

In general, 54.55 billion hryvnias will be allocated to the development of the defense industry. These funds will be used to implement the latest technologies, expand production capacities, and modernize defense enterprises. Compared to 2024, when about 51 billion hryvnias were allocated for these needs, this increase is 3.5 billion hryvnias.

The minister noted that a significant part of the funds will be used for the modernization of existing defense enterprises, as well as for the launch of new production lines, which will allow to significantly increase production and meet the needs of the Armed Forces of Ukraine. In particular, attention will be focused on the implementation of advanced technologies, which will help increase production efficiency and provide the country with the most modern weapons.

In addition, the government of Ukraine plans to allocate another 500 million hryvnias to support the program of affordable loans for defense enterprises. The program allows Ukrainian manufacturers to receive loans at 5% per annum, while the rest of the interest rate is compensated by the state. This will be an additional incentive for the development of the defense industry, allowing enterprises to reduce financial costs and invest in innovative technologies.

This amount of investment in the defense industry sector is an important step to ensure national security and strengthen the country's defense capabilities in the face of current military aggression. It is noted that increasing defense funding in wartime conditions is necessary for rapid adaptation to changing conditions at the front and meeting the growing needs of the army.

Financing the defense sector is part of the government's overall policy to support domestic production and the national economy, which should help Ukraine strengthen its defense capabilities and take a significant step towards independence and stability.