Additional Subsidies for Affected Communities
The Cabinet of Ministers of Ukraine has approved the allocation of 1.4 billion UAH for 360 local budgets of territorial communities, as well as regional budgets for de-occupied and war-affected areas for the third quarter of 2025. This was reported by the Ministry of Finance.
The subsidy is intended to compensate for the loss of local budget revenues caused by military actions, temporary occupation, or proximity to the front line, according to the announcement.
Specifically, 635.7 million UAH is allocated to 164 local budgets as compensation for losses from personal income tax. Another 383.8 million UAH is designated for 81 communities as compensation for losses from land tax.
Additionally, 77 communities will receive 38.3 million UAH as compensation for losses from real estate tax, while 38 communities will receive 56.8 million UAH as compensation for losses from a single tax.
The Ministry of Finance reports that 297.3 million UAH has been directed to the regional budgets of Donetsk, Kirovohrad, Odesa, Poltava, and Sumy regions as compensation for corporate income tax losses.
“The state consistently supports communities that have suffered from the war or are located near the front. This year, local budgets in these areas have received over 15.9 billion UAH in additional subsidies,” the ministry's announcement stated.
“It is crucial for communities to effectively utilize these funds—supporting schools, hospitals, social services, and the local economy,” the agency added.
The Ministry of Finance also reminds that the additional subsidy to local self-government bodies is a financial support mechanism that helps communities in affected areas maintain the operation of critical institutions and preserve financial stability during wartime.
This type of subsidy is provided for by the law “On the State Budget of Ukraine for 2025.”
