This Resolution of the Cabinet of Ministers of Ukraine No. 793 dated June 17, 2026, officially approves the Budget Declaration for 2027–2029. The document serves as a strategic public finance plan, defining the priorities of fiscal policy amidst ongoing military aggression and post-war reconstruction. The primary objective of the declaration is to ensure macroeconomic stability, gradually reduce the budget deficit, and lay the foundation for economic growth through structural reforms. The document is based on two development scenarios, with the security situation in the country serving as the key factor.
**Structure and Main Provisions:**
The Declaration consists of a general section, an analysis of macroeconomic indicators, fiscal policy forecasts, priority tasks by sector (defense, education, healthcare, social protection, etc.), as well as plans for public investment and debt policy. Compared to previous versions, this document focuses more clearly on integration with EU standards, the reform of the social welfare system, and strict fiscal discipline. A significant change is the transition to strategic investment planning through a medium-term plan that accounts for reconstruction needs based on the “Build Back Better” principle.
**Key Provisions for Implementation:**
1. **Fiscal Consolidation:** A gradual reduction of the state budget deficit is planned, from 17.7% of GDP in 2027 to 5.5% in 2029.
2. **Defense Priority:** The security and defense sector remains the primary recipient of budgetary funds, with provisions for expenditure review mechanisms in the event of an escalation of hostilities.
3. **Tax Policy:** The implementation of the National Revenue Strategy is provided for, which includes the harmonization of excise taxes with EU norms, the introduction of electronic tax audits (e-audit), and the strengthening of income monitoring through digital platforms.
4. **Social Sphere:** A targeted approach to social assistance is being introduced, along with the verification of payments and the gradual “decoupling” of public sector salary rates from the subsistence minimum.
5. **Debt Policy:** The focus is placed on long-term concessional financing from international partners (IMF, EU, World Bank) to cover the deficit and refinance debt.
