Ministry of Defense: Expenses for 2016 are 55.5 billion UAH which exceed previous year by 7.6 billion UAH



Kyiv, January 12, 2016. The approved expenses of the Ministry of Defense for 2016 amount to 55.5 billion UAH, making up 2.45 percent of GDP. In comparison to 2015, resource of the Ministry of Defense decreased by 7.6 billion UAH, or 16 percent, said the spokesman of the Ministry of Defense of Ukraine, Lieutenant Colonel Oleksiy Chornobay at a press briefing at Ukraine Crisis Media Center. “Twenty percent of the approved funds, i.e. 11.4 billion UAH are intended for development of weaponry and military equipment and six percent, 3.2 billion UAH, for training of the Armed Forces,” said Lt. Col. Chornobay. 6.5 billion UAH will be spent on sustainment operations, 1 billion UAH on disability payments and housing construction for servicemen will cost 700 million UAH, said the ministry spokesman.

According to Lt. Col. Chornobay, the approved funds will allow considerable improvement of pay for servicem in compliance with the requirement of Ukraine’s President. “For instance, a private under the first contract will be paid over 7 thousand UAH, and a brigade commander – 14.5 thousand UAH,” he said.

Moreover, in line with a Decree of the Cabinet of Ministers of Ukraine “On the procedure of status confirmation for persons directlyparticipating in the anti-terrorist operation for the purposes of preferences application dated December 30, 2015, servicemen and members of the Armed Forces of Ukraine performing tasks in the ATO zone will not be charged with a 1.5 percent military fee.

Lt. Col. Chornobay informed that the Ministry of Defense concluded 851 contracts and a supplementary agreement, totaling a sum of 8 billion 287 million UAH in 2015, as a part of the state procurement of combustible and lubrication materials, military uniforms and gear as well as sustaining services.

The Ministry of Defense will conclude 415 contracts and supplementary agreements to the total sum of 1 billion 820 million UAH this month. The Ministry is to receive products worth in total 362.5 million UAH under these contracts in January.