Ukraine's National Cashback Program to Introduce New Rates of 5% and 15% in 2026

Overhaul of the National Cashback Program

According to ХВИЛЯ: The Cabinet of Ministers of Ukraine has approved a major reform of the state-run National Cashback program. Starting March 1, 2026, a new flexible two-tier system will replace the current flat 10% refund rate. This initiative is designed to strategically support domestic industries by adjusting incentives based on market competition.

How the New Cashback Rules Will Work

Under the new framework, an enhanced cashback rate of 15% will apply to purchases of Ukrainian-made goods in product categories where imported goods hold more than 35% of the market share. Conversely, a reduced rate of 5% will be in effect for categories where imports constitute less than 35% of the market.

The new mechanism will apply to a wide range of consumer goods, including:

• Clothing and footwear
• Cosmetics
• Stationery
• Pet supplies
• Certain food products
• Essential food items
• Medicines
• Garden and horticultural goods

Analysts point out that the government revised the rules to stimulate demand precisely where Ukrainian manufacturers face the toughest competition from imports. This policy shift aims to bolster domestic production and help local businesses adapt to current market dynamics. Programs like this are part of a broader economic strategy to strengthen local supply chains.

The changes to the National Cashback program are expected to significantly impact Ukraine's economy by fostering the development of domestic producers and boosting consumer demand for local goods. In an environment of growing import competition, the new rules could help preserve jobs and increase production volumes in key economic sectors.