Topic: Macroeconomy
-
Trump presses Zelenskyy to halt strikes on Russian oil refineries ahead of New York meeting
On September 20, US President Donald Trump repeatedly pressed Ukrainian President Volodymyr Zelenskyy to stop Ukrainian strikes on Russian oil refineries during a phone call, citing rising global diesel prices. The two leaders agreed to meet in New York on September 22 on the sidelines of the UN General Assembly, where Trump is expected to push for an energy ceasefire. On September 21, Trump wrote on Truth Social that Russia had "lost control" of its diesel industry because of the war with Ukraine and called the war "senseless and endless," while Zelenskyy said Ukraine was ready for de-escalation steps only if Russia halted attacks on Ukrainian energy and critical infrastructure.
-
Russian strikes idle three plants that produced 90% of Ukraine's steel
Russian ballistic missile strikes in early September knocked out three major Ukrainian metallurgical plants — Zaporizhstal, Kametstal and ArcelorMittal Kryvyi Rih — which together had accounted for about 90% of Ukraine's steel output. The attacks killed 17 workers and halted production at facilities employing more than 15,000 people. Metinvest's Oleksandr Vodoviz said Ukraine "effectively no longer has a steel industry."
-
Ukraine's central bank raises key rate to 16% as inflation overshoots forecast
The National Bank of Ukraine lifted its key policy rate by 0.5 percentage points to 16%, the second consecutive hike, citing sustained inflationary pressure and war-related supply shocks. Consumer inflation accelerated to 8.1% year-on-year in August, slightly above the NBU's July forecast, driven by fuel prices linked to Middle East escalation and higher administrative tariffs after Russian strikes on infrastructure.
-
Le Pen says France can no longer provide Ukraine with the same level of financial aid
Marine Le Pen, informal leader of France's far-right National Rally party, said in an LCI interview reported by Le Figaro that France can no longer afford to provide Ukraine with the same level of financial assistance due to the country's deteriorating financial situation. She insisted the position "is not an act of hostility toward Ukraine" and said France can continue to train Ukrainian soldiers and supply equipment for self-defence.
-
Ukraine's government submits 2027 draft budget to parliament: defense at 44% of GDP, $52.6 billion external financing required
Ukraine's Cabinet of Ministers approved and submitted the draft State Budget for 2027 to the Verkhovna Rada on September 15, 2026. The bill, registered as No. 16000, allocates 4 trillion 885 billion hryvnias (about 43.8–44% of GDP) to defense and security, projects total expenditures of 7 trillion 272 billion hryvnias, and identifies an external financing requirement of $52.6 billion, of which only $20 billion has been confirmed by partners.
-
Ukraine to receive $841 million in World Bank budget support backed by Canada
Ukraine will receive $841 million in World Bank budget support under guarantees from the Canadian government, with the funds earmarked to reimburse state pension expenditures. Prime Minister Serhiy Koretsky announced the disbursement via Telegram, calling it extremely important and timely given the budget deficit. The payment comes as Ukraine works to finalize documents needed to unlock $29.5 billion in international financing this year.
-
Ukraine's daily war cost rises to $190 million, budget chief says
Roksolana Pidlasa, head of the Verkhovna Rada budget committee, said at the Yalta European Strategy conference in Kyiv that one day of war now costs Ukraine $190 million — $50 million more than in 2024. She warned that domestic resources are running short of defense needs and that Russian strikes have driven a VAT revenue shortfall.
-
Ukraine risks losing part of $29.5 billion in foreign financing without parliamentary votes, PM Koretsky warns
Prime Minister Serhiy Koretsky warned that Ukraine risks losing a significant portion of an anticipated $29.5 billion in international financing if the Verkhovna Rada delays the required legislation, and said the government will send parliament a schedule with clear deadlines for each vote. He described the country's state finances as close to critical and said the government plans to complete its own share of 42 commitments by October 15, having accelerated the timeline from the previously announced November 1 deadline.
-
Ukraine plans $2–3 billion war-risk insurance fund for businesses, partly funded by VAT hike
Ukraine's Minister of Economy Oleksandr Kravchenko announced plans for a $2–3 billion insurance fund to compensate businesses for losses from Russian attacks, with payouts targeted to begin on January 1, 2027. The government proposes funding part of the fund by raising VAT from 20% to 21%, a politically sensitive move that has not yet been finalized.
-
Ukraine's PM outlines $56.5 billion in year-end financial needs, split between macrofinancing and defense
Ukrainian Prime Minister Serhiy Koretsky told the Yalta European Strategy forum that Ukraine faces two urgent financial challenges by year-end: $29.5 billion in confirmed macrofinancing at risk of not being received, and an additional $27 billion needed for defense forces. The government pledged to finish its part of the work by mid-October, including submitting required draft laws in September and finalizing all Cabinet resolutions by October 15, while calling on parliament to pass 27 outstanding bills.
-
Ukraine's government submits three more draft laws to parliament tied to international financing
Ukraine's Cabinet of Ministers approved and sent to the Verkhovna Rada three draft laws needed to attract international financing and cover the state budget deficit. Prime Minister Serhiy Koretsky described the deficit situation as serious and called on lawmakers, regardless of political affiliation, to vote on the package as quickly as possible.
-
Ukraine's military intelligence chief says Russia has resources to wage war through 2027–2028
Head of Ukraine's military intelligence, Oleh Ivashchenko, said in an interview with Ukrinform that Russia is using mercenaries from more than 40 countries and still has enough resources to continue the war through 2027 and 2028, despite a weakened economy, exhausted contract recruitment, and public opposition of more than 60%. He called for sanctions that genuinely work and for international cooperation to cut off supplies of electronics, machinery, and chemicals reaching Russia through intermediary companies.
-
US Treasury Secretary says Ukrainian strikes on Russian oil refineries deepening global energy shock
US Treasury Secretary Scott Bessent said Ukraine's strikes on Russian oil refineries are deepening a global energy shock, in remarks on Fox News following two-day G20 finance ministers' meetings in North Carolina. Bessent attributed the shock both to the war in Ukraine — including Ukrainian attacks on Russian energy infrastructure — and to the conflict in Iran, and defended his decision to engage with Russian Finance Minister Anton Siluanov at the meeting.
-
Ukraine's 2027 budget has $32.6 billion uncovered financing need, finance minister says
Ukraine's Finance Minister Serhiy Marchenko said the country's 2027 budget faces an uncovered financing need of $32.6 billion — the tightest budget situation since the start of the full-scale Russian invasion in 2022. He called on European partners to seek additional sources of financing and presented a new proposal to redistribute roughly $300 billion in frozen Russian assets across all 27 EU member states.
-
FAO food price index hits highest level since late 2022 as sugar, grains surge
The UN Food and Agriculture Organization's Food Price Index rose 1.9% in August to 133.3 points, its highest level since November 2022, with all five sub-indices climbing. Sugar jumped 11.9%, the sharpest move, while grains and vegetable oils also reached multi-year highs. FAO lowered its 2026 world grain production forecast and warned that climate shocks, Black Sea disruptions and trade frictions are putting a risk premium back on food markets.