Ministry of Finance, UNICEF, and regional finance leaders discussed medium-term budgeting and Public Investment Management
On June 25–26, 2025, the Ministry of Finance of Ukraine hosted a high-level meeting titled Medium-Term Budget Planning and Public Investments – Tools for Local Development and Investment in Human Capital, chaired by First Deputy Minister of Finance Denys Uliutin and Deputy Minister Roman Yermolychev. The event was organized in partnership with UNICEF and financially supported by the Government of Germany through KfW.
The meeting brought together heads and deputy heads of regional financial departments from oblast (military) state administrations, the Kyiv City State Administration, and associations of local self-government bodies.
This event served as a key platform for dialogue between the Ministry of Finance, regional representatives, and UNICEF on investing in Ukraine’s future through effective public finance management, with a focus on the needs of children, youth, and vulnerable populations. The main goal was to shape a common vision for the quality implementation of medium-term budgeting at both national and local levels – centered around citizen needs.
First Deputy Minister Denys Uliutin emphasized the critical importance of medium-term budgeting and the new Public Investment Management (PIM) system amid extraordinary pressure on public finances.
He stressed the need to move from fragmented financing to a strategic, development-focused approach that ensures efficient use of limited resources:
“Medium-term planning is not just a technical tool – it is essential for our resilience and recovery. We must be honest with ourselves: resources are limited, and every hryvnia must deliver results. That’s why we are introducing a new public investment management system based on strategic priorities, transparency, and fiscal responsibility. It will be fully integrated into the budget process and include a medium-term plan of priority public investments developed alongside the Budget Declaration and local budget forecasts.”
He also underlined:
“While strategic investment is crucial at the national level, recovery begins locally. We aim to combine flexibility for communities to address their own needs with alignment to national sectoral priorities. This will help ensure efficient use of state and external funding sources.”
Deputy Minister Roman Yermolychev highlighted the social dimension of medium-term budgeting for 2026–2028, stating:
“We are working to implement mechanisms that support birth rates. Demographic challenges require comprehensive solutions to support families with children. In the social sector, we also foresee increases in social standards in 2026. In education, a lack of verified data complicates the forecast of the education subvention needs. We expect updates to this data. After the Budget Declaration is approved, the Ministry of Finance will prepare recommendations for communities on how to project education subvention amounts for 2026–2028.”
Emmanuelle Abrioux, Acting Deputy Head of the UNICEF Office in Ukraine, stressed the importance of investing in children and youth as a cornerstone of sustainable recovery:
“Sustainable recovery in Ukraine begins with strategic investment in people – first and foremost, in children and youth. Through improved budget planning and public investment management, we can ensure that every hryvnia spent locally better reflects the real needs of families and the younger generation, especially the most vulnerable.
UNICEF will continue to support the Government of Ukraine, particularly the Ministry of Finance, in implementing inclusive, transparent, and people-centered reforms. With a cross-sectoral approach and a focus on EU integration priorities, we aim to make public finance a driver of child well-being, human capital development, and equity.”
Over the course of two days, participants discussed key issues including budget planning, legal framework improvement, the allocation of education subventions, integration of strategic, investment, and budget planning, the implementation of the new PIM reform, and the role of the DREAM digital ecosystem as a tool for transparency, accountability, and efficiency throughout the project cycle.