Ukraine faces a $27 billion gap in 2026 military spending needed to sustain combat operations into the first quarter of 2027, Prime Minister Sergii Koretskyi said on Sept. 30. Kyiv plans to cover $7 billion by postponing expenditure, reallocating budget funds and cutting costs, while seeking partners for the remaining $20 billion. The estimate forms part of Ukraine’s first public calculation of annual war costs, which it puts at $155 billion including domestic spending and in-kind military aid from Western allies. The European Union is disbursing installments from a €90 billion loan intended to support Ukraine through the end of 2027, but says more than €20 billion available before the end of 2026 remains conditional on agreed reforms. Kyiv said $29.5 billion in foreign aid could be at risk if it fails to meet reform commitments to the International Monetary Fund and the EU by Oct. 15. The financing pressure is compounded by corruption scandals, delays in aid and disputes over legislation, while EU countries continue to debate using frozen Russian central bank assets and seek support from Britain, Canada and Japan. Russia plans to spend 17.1 trillion roubles, or $202.58 billion, on defense in 2027.