The Ministry of Finance has started to restrict state expenditures due to liquidity issues and does not rule out salary delays in the budget sector. At the same time, social payments are not planned to be cut, and the main priority remains defense. During the budget formation, the government assessed the need for external support at over 2 trillion UAH. This was reported by Finance Minister Serhiy Marchenko.
Can salary delays occur for budget workers?
Finance Minister Serhiy Marchenko confirmed during a parliamentary committee meeting that the ministry has already had to implement measures to limit spending. The situation will depend on the inflow of money into the single treasury account.
«I hope that salary delays will not occur, as that would be a financial catastrophe. But there is a possibility,» said Marchenko.
This concerns the risk of delays in the public sector, and not a decision already made to suspend salary payments. The Ministry of Finance is considering the possibility of postponing some less urgent expenditures to December. Such postponement will not affect social payments.
The problem of budget financing was known in advance. Even before the start of 2026, Marchenko assessed the uncovered financing deficit at around €16 billion and emphasized the need for additional support from partners.
Which expenditures will be funded first?
The Ministry of Finance has prepared a regulation for limited liquidity situations. The highest priority will be given to the security and defense sector. Other budget programs will be funded as funds become available.
«First of all, we finance the security and defense sector. As soon as we have additional funding sources, we will finance all other expenditures,» explained the minister.
Restrictions may apply not only to state but also to local budgets. According to Marchenko, construction programs, including social facilities, will be suspended until a sufficient level of liquidity is restored.
As a last resort, the Ministry of Finance does not rule out monetary financing of the budget, meaning attracting funds through the National Bank. Marchenko warned that this scenario carries risks of devaluation of the hryvnia and accelerated inflation.
The key factor remains external financing. Recall that earlier Inkorr reported on budget support for Ukraine and the Ministry of Finance's negotiations with the World Bank regarding the provision of state expenditures.