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Ukraine's State Debt to Kharkiv: 22.6 Billion Hryvnias Owed for Water and Heating

Заборгованість держави перед Харковом: 22.6 мільярда гривень за послуги водопостачання та тепло. Photo: Главком

Coalition Council Meeting Focuses on Frontline Region Support

A meeting of the Coalition Council was held on April 13 to discuss state policy for supporting Ukraine's frontline territories. Kharkiv Mayor Ihor Terekhov, who also heads the Association of Frontline Cities and Communities, presented a strategic vision for developing the frontline economy. He highlighted a critical issue: the state's massive debt for utility subsidies, which totals 17.5 billion hryvnias for heating and 5.1 billion hryvnias for water.

"In Kharkiv, the state's agreed-upon debt for heating tariffs in recent years has now reached 17.5 billion hryvnias. For water, it is 5.1 billion hryvnias. The state must turn its face back to the frontline cities and territories; it must compensate or write off these debts. It is impossible to operate under these conditions," Ihor Terekhov

The mayor stressed that businesses and municipal infrastructure in frontline areas operate under vastly different economic realities. He noted that these regions face "completely different risks, planning horizons, and labor market conditions." Terekhov expressed concern that applying the same policy tools used in safer regions creates a hidden inequality.

Proposals for Frontline Territory Assistance

To support these areas, the mayor proposed creating a second economic support package that should include:

  • Special credit programs
  • Improved access to loans
  • Expanded state guarantees
  • Grant support for development and processing
  • Investment initiatives

"This package must include special credit programs, access to loans, expanded state guarantees, grant support for development and processing, as well as investments," he added.

Terekhov also emphasized the importance of free public transport for city residents, stating that "it is a demand of the times, it is support for the people." He remarked that during air raid alerts, only a "profiteer would take money from people using the metro as their primary shelter."

Frontline cities like Kharkiv, Mykolaiv, Sumy, Zaporizhzhia, and communities in the Kherson region require urgent state support to ensure stable development amid severe economic challenges. The discussion at the Coalition Council meeting underscores the critical situation facing Ukraine's frontline territories. Given the enormous debt for utilities, state support policy for these regions is vital for maintaining their basic operations. The proposed initiatives, such as special credit programs and grants, could be important steps toward improving the economic situation in these cities.

In light of the pressing issues highlighted by Mayor Ihor Terekhov, it's essential to explore the broader context of support for frontline cities. Recently, at a forum in Lviv, the mayor outlined the urgent needs of these areas, emphasizing the critical steps required for their recovery and stability. For further insights into the challenges faced by Ukraine's frontline municipalities, you can read more about what is necessary for their revitalization in our detailed coverage of the critical needs for frontline cities.