The Parliament has passed the law on the state budget for next year, with 257 MPs voting in favor of the document.
Strengthening the country's defense capabilities has been defined as the top priority. A total of 2.8 trillion hryvnias is earmarked for security and defense — the largest single expenditure item.
Overall, the 2026 budget envisages expenditures of 4.8 trillion hryvnias against revenues of approximately 2.8 trillion. The deficit will stand at roughly 1.9 trillion hryvnias, or 18.4% of GDP, funded primarily through external borrowing.
Roksolana Pidlasa, head of the Budget Committee, outlined key changes: local budgets will receive an additional 4% of personal income tax (bringing their share to 64%), while the 15.2 billion hryvnia subsidy for covering tariff gaps has been cut. An additional 1 billion hryvnias will be directed toward procuring weapons and military hardware, with another 244 million allocated to the Bureau of Economic Security.
Teachers' salaries will see a phased increase: up 30% from January 1 and another 20% from September 1. "The salary hike for teachers remains: a 30% increase from January 1 and another 20% from September 1, without any changes to the remuneration approach," Pidlasa emphasized. An additional 4.8 billion hryvnias is budgeted for the teacher prestige program.
Social standards are set to rise on January 1: the minimum wage will increase from 8,000 to 8,647 hryvnias; the subsistence minimum for able-bodied persons will go from 3,028 to 3,328 hryvnias, and for persons unable to work, from 2,361 to 2,595 hryvnias.
Other expenditures include: the social sphere — 467.1 billion hryvnias, education — 120 billion, regional development — 871.9 billion, housing for internally displaced persons (IDPs) — 15 billion, and the reserve fund — 54.5 billion hryvnias.
To boost revenue, the budget includes a hike in the tax on bank profits from 25% to 50% and anticipates raising 60 billion hryvnias through customs reform.
During the debate, some lawmakers opposed the document, citing the lack of salary increases for the military and the continued funding of the telethon at 2 billion hryvnias. The government noted that the issue of military wages may be reviewed, adding that passing the budget is a prerequisite for the IMF program.
Voting by faction: Servant of the People — 193, Platform for Life and Peace — 16, Dovira — 16, Restoration — 11, For the Future — 11, non-affiliated — 9, Holos — 1. The European Solidarity and Batkivshchyna factions did not support the document.
President Volodymyr Zelenskyy thanked parliamentarians for their support: "This is an important signal of Ukraine's resilience and the stable financial provision of next year's needs."
