«The Budget for a Happy Future for Municipal Enterprises» — councillor Kiseliova on Mykolaiv’s expenditure

Olena Kiseliova, a councillor on Mykolaiv City Council. Archive photo NikVesti

Olena Kiseliova, a councillor on the Mykolaiv City Council and chair of the «European Solidarity» faction, stated that the city’s budget for 2026 had effectively been channelled towards supporting municipal utilities. She asked for an explanation of how effective such spending had been and whether the city had the funds to repair and fit out shelters.

Olena Kiseliova made these remarks on 29 October during a city council session where Mykolaiv’s budget forecast for 2027–2029 was being discussed, according to NikVesti.

According to the councillor, before planning expenditure for the coming years, it is necessary to understand how the city has used its budget funds this year.

«I don’t want to get carried away by emotions, but it seems to me that we really need to shed light on the situation in Mykolaiv, and to do so in the context of this year’s budget – how we adopted it and how we have worked with it. We essentially designed this year’s budget as a blueprint for a bright future for our municipal enterprises. I would like to hear just how effective this approach has been,» said Olena Kiseliova.

The councillor also raised the issue of shelters. She noted that the city talks a lot about future projects, but it is unclear whether there will be enough money to purchase and repair protective structures.

«I’m curious whether we have the resources to purchase and repair air-raid shelters, because it’s a major issue today, yet we seem to be glossing over it. You know how they say: let’s talk about something lovely. Do you have haemorrhoids? No, I don’t. Well, that’s lovely. That’s exactly how it is with us. There are no air-raid shelters, well, there aren’t,» said the councillor.

Olena Kiseliova also pointed out that the documents devote a great deal of attention to projects for the future development of Mykolaiv. Among these, she mentioned the regeneration of the site of the former Mykolaiv Shipyard, where there are plans to create residential, commercial and leisure spaces.

«So, let’s put it this way: there are some interesting things written here: work is underway on three relevant projects that have been included in the portfolio. Furthermore, these projects have been incorporated into the master plan. There are a great many interesting projects, but as far as the future is concerned, the only way we can support entrepreneurs is through the training initiatives carried out as part of the project and the selection of seven enterprises that have demonstrated significant business potential».

At the same time, the councillor questioned the extent to which such plans meet the city’s current needs. She also pointed out that, amongst the business support measures listed in the documents, are training sessions and the selection of seven enterprises with development potential.

«There are a great many interesting projects, but as far as the future is concerned, the only way we can support entrepreneurs is through the training sessions held as part of the project and the selection of seven businesses that have demonstrated significant business potential,» said the councillor.

What is happening with Mykolaiv’s budget in 2026

As a reminder, when Mykolaiv’s 2026 budget was approved, the city was short of around 1.3 billion hryvnias to cover all its planned expenditure. Throughout the year, the city authorities reviewed and cut certain expenditure items. According to the mayor, Oleksandr Sienkevych, this resulted in savings of around 481 million hryvnias; however, it was not possible to fully resolve the funding shortfall.

At the same time, over the first seven months of 2026, Mykolaiv’s budget was exceeded by 110.6 per cent. The city received 322 million hryvnias more than planned. A significant portion of the additional revenue came from large taxpayers who had re-registered in Mykolaiv.

In September, councillors approved a budget increase of 783.1 million hryvnias. Of this, 357.7 million came from the city’s additional own revenue, 17 million from the sale of municipal property, and a further 408.5 million from the state and other local budgets. It was decided to allocate part of the funds to the reserve fund in preparation for winter.

Despite the additional revenue, in early October the Mykolaiv City Council appealed for the third time to the Verkhovna Rada and the Cabinet of Ministers, requesting the allocation of 819.1 million hryvnias by the end of the year. The city’s greatest shortfall was in water supply and heating — 412.7 million hryvnias. A further 138.8 million was needed for salaries for staff at state-funded organisations, 106.3 million for utilities and energy supplies, and 96.7 million for passenger transport by electric trams.

Furthermore, from 14 September, the Treasury had been withholding part of the payments from Mykolaiv’s budget. As of 12 October, the city was unable to make payments totalling over 370 million hryvnias. This led to delays in paying for work already completed, particularly on capital construction projects.

NikVesti also reported that Mykolaiv’s Capital Construction Department had used only a small portion of the planned funds over the course of nine months. The projects on which work was planned included school shelters, canteens and medical facilities. The head of the department, Oleksii Savchuk, reported that the Treasury had delayed payment for 22 certificates of completed works totalling nearly 29 million hryvnias.

Then, on 27 October, the Director of the Finance Department, Vira Sviatelyk, reported a deterioration in budget performance. Over the nine-month period, the city’s revenue fell short of the target by 66 million гривень, whilst expenditure was implemented at 82 per cent of the budget.

According to her, the mayor instructed budget managers to review their expenditure by the end of the year and identify which funds they could do without. However, none of them declined funding, and the total declared requirement for November and December stood at around 800 million hryvnias.

NikVesti provided further details on the city’s financial situation, the funding shortfall and payment delays in the article: «Money is running out, payments are being delayed. What’s happening with Mykolaiv’s budget?»