The war is systematically destroying the country's economy, pushing over 40% of citizens below the poverty line. Rising prices and low incomes worry Ukrainians even more than the situation at the front, while the government has announced a regime of strict austerity.

The Scale of the Crisis and Sociological Moods

According to a September poll by the Kyiv International Institute of Sociology, low wages, pensions, social benefits, as well as rising prices and inflation are among the top 6 issues worrying Ukrainians the most. At the same time, low income concerns citizens even more than the activities of recruitment centers (28% vs. 24%), and price hikes worry them more than the frontline situation (23% vs. 21%). In 2025, the poverty rate reached 41.6%.

Economic Destruction and Budget Deficit

Entering the fifth year of the full-scale invasion, the aggressor continues to systematically destroy Ukraine's economy. Factories burn down, warehouses are destroyed, and entire industries vanish along with jobs. Prime Minister Serhiy Koretsky stated in late September that the defense budget deficit is estimated at 27 billion dollars, prompting the government to maximize savings.

Expert Assessments and the Threat of Stratification

Economist and financial analyst Oleksiy Kushch warns of two dangerous trends: an increase in the number of poor people who may constitute the majority of the population, and massive social stratification. Under wartime conditions, this threatens the loss of social solidarity and a growing sense of injustice.

Solutions and Alternative Approaches

The state currently limits itself to targeted payments and damage recording rather than offering a systemic solution. Experts insist on the need for effective fiscal incentives, such as lowering the VAT rate, and finding balanced compensators for the state budget to prevent a financial catastrophe.