The Verkhovna Rada of Ukraine has adopted Draft Law No. 15400 in its first reading. The legislation provides for the allocation of fees collected for processing and issuing documents under the state export control system to support the Armed Forces of Ukraine.
Additional Funding for Ukraine’s Armed Forces
The initiative, developed with the involvement of the Ministry of Defence of Ukraine and introduced by Members of Parliament Andrii Motovylovets and Roksolana Pidlasa, proposes amendments to the Budget Code of Ukraine.
If adopted in its entirety, the legislation will require 100% of fees collected for processing and issuing export control documents for military and dual-use goods to be credited to the special fund of the state budget and subsequently allocated to the Ministry of Defence of Ukraine.
“Developing Ukraine’s defence industry export potential and ensuring the needs of the Defence Forces are met are interconnected priorities. The draft law creates additional opportunities for the development of Ukraine’s domestic defence production and will enable revenue from defence export clearances to be directed straight to the needs of our military,” stated Anna Gvozdiar, Deputy Minister of Defence of Ukraine.
Allocation of Funds
Under the proposed legislation, revenues collected from the processing of defence export documentation will be distributed equally:
- 50% will be allocated to the procurement, modernisation and repair of weapons and military equipment.
- 50% will be allocated to the payment of military personnel remuneration for members of the Armed Forces of Ukraine.
The draft law builds on Resolution No. 875, adopted by the Cabinet of Ministers of Ukraine on 1 July 2026, which introduced a framework for the controlled export of Ukrainian weapons and defence technologies, while maintaining the supply needs of Ukraine’s Defence Forces as an overriding priority.
The resolution establishes export permit fees equivalent to 20% of the value of finished products and 30% of the value of components.