Andrii Moskalenko: Lviv's 2025 Budget: Challenges and Priorities
This year, the budget of the city of Lviv, like the budgets of other cities in Ukraine, is facing significant financial difficulties. In my opinion, this is one of the most challenging budgets in recent years. However, despite the challenges, we are doing everything possible to ensure the stable operation of the city and to support our military.
Key facts:
Nearly 2 billion hryvnias will be deducted from the Lviv budget to the state budget as a reverse subsidy.
The total budget of Lviv for 2025 amounts to 14.4 billion UAH. This is the funding for everything from kindergartens and roads to support for the Armed Forces of Ukraine (AFU).
However, despite all the restrictions, we have defined the priorities of the 2025 budget, which remain unchanged:
1. Support for the Armed Forces of Ukraine (AFU).
2. Development of veteran policies.
3. Education and development of children and youth.
4. Ensuring the uninterrupted operation of critical infrastructure.
How this amount will be distributed
1. Support for the AFU
The first and unchanging priority is our military. A total of 1 billion hryvnias is allocated for their support.
However, the financial burden on the city is significant. In 2024, we lost 1.8 billion UAH due to the deduction of military income tax, and in 2025, we will additionally give 1.9 billion UAH as a reverse subsidy.
To find funds for the AFU, the city will be forced to take out a loan. There is no other way. We receive hundreds of requests from military personnel every month, and our task is to fulfill them. This is a tough decision, but helping our defenders is our shared responsibility for the safety of Lviv and the entire country.
2. Education and development of children and youth
A total of 4.9 billion UAH is allocated for the educational sector:
Maintenance of schools, kindergartens, and extracurricular institutions – 3.7 billion UAH.
Educational programs – 398.6 million UAH.
Vocational and technical education – 544.6 million UAH.
Art education – 229.5 million UAH.
This will ensure salaries for teachers, payment for energy resources, as well as funding for educational programs and projects for children.
3. Social protection and healthcare
A total of 1.040 billion UAH is allocated for this sector:
Social programs and support – 709.9 million UAH.
Energy resources for medical institutions – 199 million UAH.
City medical programs – 140 million UAH.
4. Culture and sports
A total of 548.9 million UAH is allocated for culture and sports:
Maintenance of cultural institutions (salaries, energy resources, current expenses for over 90 institutions) – 308 million UAH
Maintenance of sports institutions, youth sports schools, and resistance programs – 200.5 million UAH
5. Critical infrastructure and transportation
A total of 3.8 billion UAH is allocated for the operation of city infrastructure, including:
A significant portion of these funds will cover the tariff difference (heating and water) – 1.18 billion UAH
Maintenance of roads, sanitation of the city, etc. – 1 billion UAH
Subsidized transportation – 669.9 million UAH
Electronic ticketing and transport operations of Lviv Electric Transport – 428.4 million UAH
6. Elimination of the consequences of emergencies
For emergencies, 300 million UAH is allocated.
7. Support for small and medium businesses and innovations
A separate allocation of 70 million UAH is designated for programs supporting small and medium businesses, veteran grants, and innovative projects related to military developments and UAVs.
What’s next?
Today we presented this budget project to the community. The next step is consideration by the relevant committees and voting at the city council session.
We are also open to your ideas! If you have suggestions or questions regarding the general fund budget (programs, sector funding) – please send them to the email address of the financial policy department [email protected].
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