Finance Ministers of Ukraine and Germany discussed Ukraine’s budgetary needs for 2026 in Kyiv

On August 25, Minister of Finance of Ukraine Sergii Marchenko and Vice Chancellor, Federal Minister of Finance of Germany Lars Klingbeil met in Kyiv to discuss the state of Ukraine’s financial system, its budgetary needs for 2026 and cooperation with the IMF.

The Ministers also honored the memory of fallen Ukrainian defenders at St. Michael’s Square in Kyiv.

“Germany’s support and solidarity since the very first days of the full-scale war have played a crucial role for Ukraine. This includes financial assistance, military and humanitarian support. Germany and Ukraine have a long history of strong and productive cooperation, and we strive to further expand our partnership,” emphasized Sergii Marchenko during the meeting.

Germany’s direct budget support to Ukraine since the start of the full-scale war amounts to EUR 1.6 billion, of which EUR 1.3 billion are grants.

Sergii Marchenko also thanked Germany for supporting the implementation of the EU’s Ukraine Facility, under which EUR 22.6 billion has already been mobilized for the State Budget, as well as the ERA mechanism (funds from revenues generated by frozen russian assets), through which the EU has already directed EUR 9 billion to Ukraine.

Ukraine is also actively cooperating with the German Development Bank (KfW). Currently, 11 projects worth a total of EUR 301 million are being implemented to support small and medium-sized enterprises, the energy sector, social infrastructure, and internally displaced persons.

International assistance continues to play a key role in maintaining financial stability. In 2025, Ukraine has already attracted more than USD 28 billion in external financing, while the need for the current year stands at USD 39.3 billion.

Discussing the 2026 budget, the Minister of Finance of Ukraine stressed that planning is still taking place under conditions of high uncertainty. If active hostilities continue, the need for partner support will remain at least at the current year’s level.

Sergii Marchenko emphasized that the recovery and resilience of the financial system require long-term solutions. The parties agreed to continue the dialogue on expanding mechanisms of budgetary support for Ukraine in 2026 and beyond.

In addition, the parties discussed Ukraine’s progress on European integration. The Government of Ukraine is implementing the necessary policies and structural reforms, as well as harmonizing national legislation with EU standards for full integration. Sergii Marchenko thanked Germany and all EU partners for recognizing Ukraine’s transformational progress under wartime conditions.

The meeting was also attended by Deputy Ministers of Finance of Ukraine Yuriy Draganchuk, Olga Zykova, and Oleksandr Kava, Government Commissioner for Public Debt Management Yuriy Butsa, as well as Ambassador of Germany to Ukraine Martin Jäger.

Following the meeting, Sergii Marchenko and Lars Klingbeil held a joint press conference. The Minister of Finance of Germany assured that support will continue both militarily and financially. The countries will also cooperate to ensure Ukraine’s swiftest possible European integration.