Over UAH 497 billion allocated for military supplies: Ministry of Defence modernizes defense procurement

The Ministry of Defence of Ukraine is modernizing defense procurement in line with the best Euro-Atlantic practices, aiming to strengthen cooperation with NATO in this domain. 

For this purpose, the Ministry has developed and is implementing a plan for the Strategic Review of Ukraine's Defense Procurement System, which defines the key priorities for 2025 and sets tasks for 2026–2027.

“The Ministry of Defence of Ukraine has allocated a defense procurement budget of UAH 497.7 billion for this year. This includes both procurement through agencies and the acquisition of innovative developments, along with individual procurements by military units, etc. Implementing the Strategic Review standardizes the Ministry of Defense’s procurement processes and enhances the capability of defense procurement in line with NATO best practices,” said Glib Kanevskyi, Director of the Defence Ministry's Procurement Policy Department.

The document outlines changes such as the digitalization of procurement processes, the expansion of international cooperation, and the introduction of anti-corruption mechanisms, all aimed at improving the defense procurement system's transparency, accountability, and effectiveness.

Specifically, the approved plan outlines:

• the development of a comprehensive plan for transforming defense procurement management;
• standardization of defense procurement practices across the components of the security and defense sector;
• developing a framework for defense procurement contracting processes, which includes direct contracts and restricted tenders;
• collecting, summarizing, and analyzing lessons learned from the experience of developing and overseeing defense procurement during the war;
• exchanging the results of the analysis of lessons learned by Ukraine with NATO member states and others.

These changes are anticipated to boost international partners' confidence in Ukraine's defense procurement system, strengthen transparency and competitiveness of the processes, and create conditions to attract a wide range of suppliers. This will contribute to the growth of Ukraine's defense industry and ensure the Armed Forces are equipped with modern and high-quality weapons and equipment.