Tuesday, 22 September 2026
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UkrainePublished: 22 September 2026 at 23:49

Ukrainian Arms Makers Sign First 26 Deals Under Program Letting Them Lease Equipment for 5% of Cost

Ukraine has signed its first 26 deals under a new program that lets domestic arms producers lease equipment while paying only 5% of the cost themselves, with the state covering the remaining 95%.

Foto: Euromaidan Press

Ukraine has signed the first 26 agreements under a newly launched state support program designed to accelerate growth in the country's domestic defense industry. Under the program, manufacturers of weapons and military equipment can lease the machinery they need while covering only 5% of its cost out of pocket, with the state paying the remaining 95%.

This arrangement significantly eases the financial burden on producers, who would otherwise need to raise the full purchase price of new equipment on their own. The support is particularly meaningful for smaller and mid-sized manufacturers, for whom access to large amounts of capital is often the main obstacle to scaling up production. With the state shouldering most of the cost, companies can expand their capacity and begin using new equipment faster, rather than waiting until they can independently secure the necessary funds.

The program is part of broader efforts to strengthen Ukraine's domestic defense manufacturing sector, which has taken on growing importance during the war for the country's ability to keep its armed forces supplied with equipment. Boosting local production capacity reduces reliance on foreign supplies and allows quicker responses to changing battlefield needs.

The fact that 26 deals have already been signed indicates the program is now operating in practice, with producers actively making use of it. No further details have yet been made public about the specific companies involved, the types of equipment being acquired, or the program's total planned scale and duration.

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