Ukraine ended 2024 with a budget deficit of 17.7% of GDP, lower than planned

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Ukraine ended 2024 with a budget deficit of 17.7% of GDP, lower than planned

The Cabinet of Ministers of Ukraine approved the report on the execution of the state budget for 2024, which indicated that the deficit was 17.7% of the gross domestic product (GDP) against a planned level of 24.2%. In comparison, the budget deficit in 2023 reached 19.6% of GDP, as reported by the Ministry of Finance.

This is reported by Finway

The Verkhovna Rada clarified that the total budget deficit for 2024 amounted to ₴1.36 trillion. Budget revenues were ₴3.12 trillion, which is ₴1.212 trillion more than the figures approved by parliament. Total budget expenditures amounted to ₴4.49 trillion, which is ₴473.5 billion, or 11.8% more than in 2023.

Budget Priorities: Security and Social Expenditures

Funding for the security and defense sector remains a key priority for the government. Expenditures for these needs amounted to ₴2.97 trillion, which is 38.9% of GDP, and this is 12.4% more compared to 2023. At the same time, funding for social expenditures increased by 8.4% and reached ₴579.2 billion in 2024.

Forecasts for 2025

It is worth noting that the updated cooperation program with the International Monetary Fund (IMF) forecasts that the budget deficit in 2025 will be 18.8% of GDP, and excluding grants – 19.6% of GDP.