Ukraine allocates 55 billion hryvnias for weapons production in 2025 budget

Source: Minister of Strategic Industries Herman Smetanin /Telegram

The Ukrainian government’s 2025 state budget will see a substantial allocation of 54.55 billion hryvnias for the production of weapons and military equipment, according to  Minister of Strategic Industries Herman Smetanin. This marks an increase of nearly 4 billion hryvnias over 2024’s defense production budget.

The allocated funds will support the development, design, and implementation of new technologies, along with the expansion of production capacities for defense manufacturing.

In addition, the government will spend 500 million hryvnias on a low-interest credit program that will stimulate domestic defense enterprises. Launched earlier this year, this program allows defense companies to take loans at a 5% interest rate, with the state covering the remainder of the interest.

Overall, the 2025 budget proposal earmarks a total of 2.22 trillion hryvnias for Ukraine’s security and defense sector.

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