Ukraine’s finance minister says it needs additional $12-15B from partners in 2025

By Burc Eruygur

ISTANBUL (AA) - Ukrainian Finance Minister Serhii Marchenko said on Tuesday that his country requires an additional $12-15 billion from its partner next year, based on the continuation of the Russia-Ukraine war.

In an interview with Ukrainian media outlet RBC-Ukraine, Marchenko said the country has no room to cut its expenditures to allocate funds for Ukraine’s defense needs.

Marchenko said that this subject could be open for discussion if Ukraine was part of the European security system, in which case Kyiv would be a “key factor in diverting potential threats from Europe.”

“This, I think, is the perspective that awaits us as we approach permanent membership in the EU. So far, during the war, I don't think anyone is ready to give money to the Armed Forces of Ukraine,” Marchenko said.

Reminding that Ukraine aims to show its readiness for the “most difficult decisions” through the government's tax hike proposal earlier this month, Marchenko further said that, according to the IMF’s Extended Fund Facility program, the assurance given to Kyiv by its partners are not enough for a balanced budget for 2025.

He also said that, during its preparation, one of the key parameters of the program determined the active phase of the war would continue until mid-2024.

“As we can see, this forecast did not come true. So now we are constantly talking to our partners that we need additional financial assurance because the war will continue in 2025, and we need to have a buffer,” the finance minister went on to say.

“We estimate the additional needs for 2025 at $12-15 billion. This is fully consistent with our discussions with the IMF. They also potentially see this as an additional need beyond what is currently provided for in the program,” he added.