State budget

The U. S. International Development Finance Corporation (DFC) has fully launched the U.S.-Ukraine Reconstruction Investment Fund, which will begin reviewing projects in 2026. The fund will focus on critical minerals, energy, transportation, logistics, and technology, attracting private capital.

US President Donald Trump will sign into law on December 18 the defense policy bill for fiscal year 2026, which regulates military pay raises and measures to respond to geopolitical threats, and also provides for the allocation of $800 million to Ukraine for the purchase of American weapons.

A new batch of 6,995 hearing aids has arrived in Ukraine for children and adults. The equipment is being prepared for free distribution to the regions during December-January.

In the US, a package of regulatory measures has been introduced aimed at stopping the provision of gender-affirming medical care to minors.

Trump's company announced a merger with thermonuclear technology developer TAE Technologies. The $6 billion deal aims to meet the energy needs of data centers serving artificial intelligence.

Ukraine announced a successful restructuring of GDP warrants worth $2. 6 billion, which will avoid significant payments in the post-war period. This transaction will strengthen debt sustainability and increase the country's budget predictability.

Israel's Ministry of Defense announced an expansion of its contract with Germany for the supply of Arrow-3 missile defense components, increasing its value to $3. 1 billion.

The Russian government has ordered the country's railway to sell the "Moscow Towers" in the capital's "Moscow City" complex to pay off its debts.

A session of the Albanian Parliament turned into a large-scale clash: the opposition lit flares, threw bottles, and blocked the rostrum. The reason was a protest against election falsification and a demand for the resignation of the Deputy Prime Minister, who is under investigation.

President of Ukraine Volodymyr Zelenskyy announced that partners have informed about the possible adoption of a final decision on financing Ukraine before the end of the current year. This decision will not be postponed until January or later.

The National Bank of Ukraine considers receiving a reparation loan as the baseline scenario, but in case of delays with external assistance, the government can rely on banks. NBU Deputy Governor Serhiy Nikolaychuk noted that banks have the potential to increase investments in government securities.

Great Britain imposed sanctions against three Russian oil companies: PJSC Tatneft, PJSC Russneft, and PJSC NNK. This expansion of sanctions pressure is aimed at reducing Russia's revenue from energy exports, covering almost 60% of Russian oil exports to key markets.

Polish Prime Minister Donald Tusk stated that using frozen Russian assets is the only realistic way for Europe to finance support for Ukraine. He noted that technical discussions are currently underway regarding a mechanism based on Russian assets, instead of discussing alternatives.

President Volodymyr Zelenskyy stated that Ukraine and the United States have different views on Donbas, and the issues of the Zaporizhzhia Nuclear Power Plant and a reparations loan remain open. He emphasized the need for a positive decision on the reparations loan to avoid a budget deficit of 45-50 billion dollars next year.

The Kyiv City Council approved the capital's budget for next year, which amounts to over 106 billion hryvnias. According to Mayor Vitali Klitschko, the budget is balanced and ensures the city's vital functions, assistance to the military, and socially vulnerable Kyiv residents.

The absence of a reparations loan could lead to a budget deficit of 45-50 billion dollars next year, the President of Ukraine said.

EU countries have offered additional guarantees to Belgium to support a plan to provide Ukraine with a 210 billion euro loan from frozen Russian assets. Unused loan funds will be the first line of defense if the EU has to compensate Russia for damages.

The Ministry of Finance of Ukraine has published a draft law on the introduction of VAT for individual entrepreneurs from 2027, which is intended to improve VAT administration for single tax payers. The changes envisage a reduction of the single tax rate from 5% to 3% for the 3rd group of individual entrepreneurs who reach the limit of UAH 1 million, and mandatory registration as a VAT payer.

President of the European Council António Costa stated that a decision on supporting Ukraine would be made by the end of the EU summit. President of the European Commission Ursula von der Leyen also confirmed that leaders would not leave the summit without an agreement on financing Ukraine for the next two years.

Ukrainian President Volodymyr Zelenskyy has arrived in Brussels for the EU summit. The summit will address the issue of financing Ukraine and the use of frozen Russian assets.

Volodymyr Zelenskyy stated that the issue of using frozen Russian assets for Ukraine's needs depends on the political will of partners. The President noted that these funds could be directed to support the Ukrainian army and defense production.

The US Senate has confirmed Jared Isaacman as NASA Administrator. He will lead the 14,000-employee agency, which is investing billions of dollars in returning humans to the Moon and sending astronauts to Mars.

The United States has approved an $11. 1 billion arms sale to Taiwan, the largest ever arms package for the island. The move comes amid increasing military pressure from China and includes HIMARS rocket systems, howitzers, and Javelin anti-tank missiles.

At Thursday's EU summit, leaders will try to persuade Belgium to agree to the use of frozen Russian assets to finance Ukraine. This is the EU's last chance to greenlight a proposal to raise 210 billion euros from Russian assets.

EU diplomats are trying to find a compromise on financial aid to Ukraine ahead of the bloc's leaders' summit. Options being considered include a loan based on frozen Russian assets or joint EU debt.

The Cabinet of Ministers of Ukraine reallocated the 2025 budget, allocating over UAH 25 million for generators and equipment for cultural institutions. This decision will allow museums, theaters, libraries, and reserves to operate continuously during power outages.

The National Center for Atmospheric Research (NCAR) in Boulder is being disbanded in the United States. This is part of a strategy to cut funding for climate research, which also includes reducing the budget of NOAA and its scientific division OAR.

The US Senate has approved a national defense bill worth almost $900 billion, which includes $800 million for Ukraine for 2026-2027. The funds will be distributed in equal parts for the procurement of weapons.

Ukraine will increase the accessibility of prostheses and orthoses for civilians affected by Russian aggression by increasing compensation and, for the first time, providing children with bionic prostheses. The government has adopted a corresponding decision, while maintaining the algorithm for receiving assistance.

The Ukrainian government has approved a decision to compensate for the costs of retrofitting cars for people with disabilities. The payment amount will be up to UAH 50,000, and applications can be submitted in person or online.