Today, the Government made a decision to launch Defence City starting January 5, 2026, announced Ukraine's Prime Minister Yulia Svyrydenko.
As part of this project, the following important points have been approved:
- Establishment of the procedure for obtaining the status of a Defence City resident.
- Implementation of mechanisms for controlling the use of profits.
- Provision of protection for sensitive information.
The procedure for relocation and improving the security of production capacities for Defence City residents has also been approved, as outlined in the State Budget-2026.
“We emphasize that we are already producing half of Ukraine's weapons domestically, and we are working on increasing our capabilities. This is precisely why Defence City is being created – a special legal regime for the development of the defense ecosystem.”
The share of personal income tax paid by residents will be directed to a special fund for infrastructure and relocation support, the Prime Minister noted.
“The Government's decision has established ways of interaction between central and local authorities regarding financing, monitoring, and reporting. The regional military administrations are responsible for this,” Svyrydenko added.
Furthermore, the Prime Minister expressed gratitude to the Ministry of Defense for creating better conditions for domestic weapons manufacturers.
The Government has adopted a package of decisions for the launch of Defence City aimed at developing the defense ecosystem and ensuring the security of production capacities. This project envisions the implementation of new rules for residents and a special tax regime that will facilitate the development of the defense industry in Ukraine.