Daily Flyer - December 1, 2024
A voice of Ukraine to the West
Russia's budget with record spending on national defense is approved by Putin
Russian President Vladimir Putin approved a record-breaking budget for military spending on Dec. 1, allocating unprecedented resources to defense for the next three years.
The 2025 budget designates 13.5 trillion rubles ($126 billion) for national defense, representing over 6% of Russia’s GDP. This spending exceeds the combined allocations for education, healthcare, social policy, and the national economy. While slightly reduced in subsequent years, military spending will remain substantial: 12.8 trillion rubles ($114.9 billion) in 2026 and 13.1 trillion rubles ($122.4 billion) in 2027.
Overall, Russia’s budget for 2025 projects total expenditures of 41.47 trillion rubles ($387.3 billion), creating a deficit of 1.17 trillion rubles ($15.9 billion). Deficits are also expected in 2026 and 2027, amounting to 2.18 trillion rubles ($20.3 billion) and 2.76 trillion rubles ($25.8 billion), respectively.
In contrast, Ukraine’s 2025 state budget, signed by President Volodymyr Zelenskyy on Nov. 28, allocates Hr 2.2 trillion ($53 billion) to defense, accounting for 26.3% of the country’s projected GDP. Ukraine also plans to invest Hr 55 billion ($1.3 billion) in weapons production, with Hr 54.55 billion ($1.3 billion) dedicated to new technologies and expanding defense production capacity.
Strategic Industries Minister Herman Smetanin emphasized that Ukraine’s 2025 defense production budget reflects a significant increase of Hr 3.5 billion ($84.4 million) compared to 2024.
Most of Ukraine's civilian airports were damaged because of the war
At least 15 of Ukraine's 20 civilian airports have been damaged since the start of Russia's full-scale invasion in 2022, Prime Minister Denys Shmyhal announced on Nov. 30.
Ukraine’s airspace has remained completely closed since the invasion began, forcing travelers to rely on road or rail to reach neighboring countries, primarily Poland, to catch international flights. For those in eastern regions, the journey out of Ukraine alone can take up to a day.
"We conducted a risk assessment and identified the air defense needs required to partially reopen the airspace," Shmyhal said during a transportation conference, as reported by Ukrinform. However, he emphasized that "security issues and the military situation remain key to this decision."
Shmyhal also highlighted that Russian forces have targeted Ukraine's port infrastructure nearly 60 times over the past three months, causing damage or destruction to almost 300 facilities and 22 civilian vessels.
Despite the challenges, Ukraine is exploring possibilities for resuming limited air travel. Crispin Ellison, a senior partner at insurance broker Marsh McLennan, suggested that Lviv or Boryspil International Airport could reopen by January 2025.
Ellison noted during the Kyiv International Economic Forum that Lviv Airport might initially be easier to insure. However, President Volodymyr Zelensky reportedly prioritizes reopening Boryspil, Ukraine’s primary international airport near Kyiv.
"Opening Lviv is the beginning of a journey to opening up Boryspil," Ellison said on Nov. 7. The Presidential Office will make the final decision based on the security situation and the capabilities of Ukrainian air defenses.
Russians occupy Berestky in Donetsk Oblast and advance in Kharkiv Oblast
The DeepState project reported on the night of Nov. 30 to Dec. 1 that Russian forces had occupied the settlement of Berestky in Donetsk Oblast.
Additionally, analysts noted Russian advances near Masiutivka and Lozova in Kharkiv Oblast, as well as near Zhovte, Pushkine, Dalne, and Blahodatne in Donetsk Oblast.
Ukraine's PM believes it's currently impossible to reopen the country's airspace
Ukraine's Prime Minister Denys Shmyhal has announced that reopening the country's airspace remains impossible due to the current security situation. Speaking at the International Transport Forum, Shmyhal emphasized the importance of improving alternative routes for transporting goods and passengers, focusing on land-based systems such as road and rail transport.
He explained that partially reopening the airspace would require extensive risk assessments and adequate air defense systems, which are not yet feasible. Shmyhal also noted that Russian attacks have caused significant damage to Ukraine's aviation infrastructure, with at least 15 civilian airports affected since the war began.