Record Reserves and Budget Deficit: Ukraine's Economy at the End of 2025

Economic Situation in Ukraine at the End of 2025

According to ХВИЛЯ: At the end of 2025, Ukraine is experiencing record international reserves, a decrease in inflation, and an increase in the budget deficit, which creates certain economic challenges for the country. International reserves reached 57.3 billion US dollars, indicating the stability of the financial system. However, despite these positive indicators, the economy is facing serious challenges.

Inflation in November decreased to 9.3% year-on-year, which may indicate an improvement in the price situation in the country. However, at the same time, the state budget deficit in December 2025 reached record levels, significantly exceeding the level of 2024. This increase in the deficit indicates the need for measures to improve financial discipline and ensure budget stability.

Government Bonds Market and Foreign Exchange Market

It is also worth noting that the rollover of domestic government bonds (OVDP) amounted to 116%. This may indicate heightened investor interest in government securities, which could potentially be a positive sign for the market. The volumes of dollar sales by the National Bank of Ukraine increased by the end of the year, although they were lower than last year. This indicates certain fluctuations in the foreign exchange market and the regulator's corresponding reactions to them.

Thus, while Ukraine demonstrates positive indicators such as increasing international reserves and decreasing inflation, the rise in the budget deficit requires urgent measures to ensure financial stability. In the context of energy challenges that continue to impact the industry, it is important to maintain a balance between economic indicators and budget expenditures to avoid exacerbating the economic situation in the future.