Financing for equity in primary and secondary education
1. Education resources to subnational governments
2. Education resources to schools
3. Education resources to students and families
4. Social policies and family support programmes
Introduction
Ukraine’s education system is primarily funded through public resources, with a legal requirement to allocate at least 7% of GDP to education. Financing at different levels is regulated by specific legislation, while the Budget Code governs budget allocations using a programme-targeted method to ensure equitable distribution and alignment with national and regional educational priorities. This approach links budget expenditures to specific results and includes evaluation of budget effectiveness at all stages of the process.
The Ministry of Education and Science of Ukraine (MESU) is responsible for formulating education policy and allocating educational subventions and public funding for secondary, vocational, pre-higher professional, and higher education. Local authorities—comprising 24 oblasts, the Autonomous Republic of Crimea, and the cities of Kyiv and Sevastopol—implement education policy, manage schools, and distribute resources within their territories. Local budgets contribute approximately 80% of the consolidated education budget, primarily financing early childhood, general secondary, and vocational education, while the state budget mainly funds higher education institutions. Primary schools are mostly funded by local budgets, with rural, settlement, and city administrations supporting general secondary education.
Targeted subventions act as intergovernmental transfers for specific purposes defined in government policy, with the largest being the education subvention used to cover teacher salaries. A transparent formula governs the allocation of this subvention among local budgets (Section 1). In the context of war, Ukraine’s education system has faced major financial pressures, with multiple amendments to the state budget reducing allocations for sectors including education. Simultaneously, international partners have provided substantial financial support to maintain educational services.
1. Education resources to subnational governments
In 2015, Ukraine introduced a budget equalisation mechanism, establishing inter-budget transfers from the state to local budgets, including an education subvention specifically for the salaries of teaching staff. This subvention covers pedagogical salaries in a wide range of institutions, including primary schools, gymnasiums, lyceums, private schools, specialised educational institutions, children’s homes, educational and rehabilitation centres, and inclusive resource centres. The Ministry of Education and Sciences (MES) allocates these funds to local budgets following approval by the Ministry of Finance. Administrative and technical staff salaries, as well as non-salary expenditures, remain the responsibility of local governments (gromadas).
In addition to the education subvention, the government provides other subventions to local budgets to support education, including funding for the inclusion of students with special educational needs, implementation of the New Ukrainian School reform, and various investment grants. Poorer gromadas also benefit from the equalisation subvention, which can be used for education financing.
The allocation of the education subvention is governed annually by a Cabinet of Ministers formula. The initial 2015 formula applied the concept of weighted students, assigning 35 different weights based on school type, location (urban or rural), and founding authority (city of oblast significance, rayon, or territorial gromada). Rural schools were categorised by class size, and separate weights were assigned for students in special, evening, vocational, or orphaned categories.
In 2017, the use of the subvention was restricted solely to pedagogical salaries, with other expenses transferred to local budgets. MES introduced a revised allocation formula based on normative class size, accounting for student density and rurality, as detailed in Cabinet of Ministers Decree Nr 1088 and subsequent amendments. Allocations are calculated for various student groups, including day mainstream schools (over 95% of students), special schools, evening schools, vocational and professional technical schools, colleges, and private schools.
The ongoing war has disrupted this system, with widespread destruction of school facilities and large-scale student and teacher migrations destabilising actual class sizes and challenging the practical implementation of allocation mechanisms.
2. Education resources to schools
New Ukrainian School programme
The New Ukrainian School programme, initiated by the Ministry of Education and Science in 2016 and implemented from 2018, focuses on transforming general secondary education in Ukraine. Its primary objective is to modernise the education system by equipping students with 21st-century skills and competences through a revised curriculum, teacher professional development, and child-centred, partnership-based pedagogy. While equitable access and resource distribution are included as part of the programme, the central aim is to create a contemporary, inclusive, and accessible education system, rather than to serve as a targeted equity initiative.
Education for Students with Disabilities and Special Educational Needs
Since 2011, students with disabilities and special educational needs in Ukraine have been officially included within mainstream education through the inclusive education programme established by the Ministry of Education and Science. Financing for students with disabilities and special educational needs is provided through education subventions, as well as state and local budgets. Allocations are determined based on the number of students requiring support, with expenditures primarily covering teacher salaries, classroom adaptations, equipment, and resources for inclusive resource centres.
School Transportation for Students in Remote Areas and Students with Disabilities
Local authorities in Ukraine are responsible for organising and financing school transport for students with disabilities and those living in rural or remote areas. The costs are covered by local budgets. Transport must accommodate students with visual and hearing impairments as well as those with limited mobility. According to the Sanitary Regulations for secondary education institutions, students residing more than 2 km from their school are entitled to school transport.
School Shelters and Additional Buses for Safe School Conditions
Since 2022, the Ukrainian government has funded school buses and underground shelters in frontline and border regions to ensure safe, uninterrupted education. Under the ‘Offline School’ policy (implemented from September 2025), schools with shelters must provide in-person or blended learning, prioritising communities with high risk, over 200 students, or no alternative shelter access. Special attention is given to fully remote schools lacking protective infrastructure.
3. Education resources to students and families
Academic Scholarships for Secondary and Vocational Education Students
The Ministry of Education and Science provides merit-based academic scholarships for students in secondary and vocational education, as well as at colleges and universities. These scholarships are not linked to socioeconomic disadvantage. Eligible students include those in grades 8–9 of state art lyceums, scientific lyceums, and specialised sports institutions with specific learning conditions. Additional scholarships are available at the higher education level for gifted students with disabilities. Scholarships are also awarded to students who have achieved distinction in competitions, Olympiads, or are pursuing studies in particular specialised fields. The amount of the scholarship varies depending on the level of education and the type of award. Funding allocations for academic scholarships were increased in 2025.
4. Social policies and family support programmes
Social Scholarships for Vocational Education Students
Full-time vocational students are eligible for social scholarships funded by the Ministry of Social Policy, with priority given to: orphans and children deprived of parental care; persons affected by the Chernobyl disaster; persons from low-income families; children and persons with disabilities; miners with at least 3 years of underground work experience; internally displaced children; persons who were captives, imprisoned or in any other way deprived of their liberty due to the war (and their children); and persons guaranteed a social scholarships under the Law on Amendments to Certain Laws of Ukraine Concerning State Support for Combatants and Their Children, Children Whose One Parent Has Died in the Area of Anti-terrorist Operations, Combat Actions, Armed Conflicts, or During Mass Civilian Protest Actions. These scholarships were initially introduced for vocational students in 2004.
As of January 2024, social scholarships have additionally been made available to students who were in captivity, imprisoned, or otherwise deprived of their freedom due to the war, as well as their children. The list of documents required was also simplified for children of combatants.
‘Schoolchild Package’ One-Time Allowance
In 2025, the government introduced a one-time social protection allowance called the ‘schoolchild package’ to support families with children enrolling in first grade for the 2025–26 academic year. Each eligible family receives UAH 5,000, intended to cover essential items such as school stationery, clothing, and shoes, helping to ease the financial burden associated with starting school.
5. School meal programmes
Several groups of students in state and municipal educational institutions are entitled to free hot meals at the primary level, including orphans, children deprived of parental care, students with special educational needs (in both special and inclusive classes), children from low-income families, internally displaced children, and those from families receiving state social assistance or listed as war veterans. Local authorities may also provide free meals to other children at their discretion. All participating schools must comply with Cabinet of Ministers requirements on nutritional standards, energy content, and age-specific dietary needs as established by the Ministry of Health.
The programme was initially supported by the French government and Mastercard via WFP, with national school meal reforms launched in 2019. A 2020 national action plan brought together the Ministries of Education and Health, dieticians, and culinary experts to improve meal quality in line with WHO guidelines, while giving schools flexibility in implementation. The 2024 Standard Educational Programme for Advanced Training of Heads of Educational Institutions further enhanced capacity, covering menu planning, quality control, and parental collaboration. Over 500 school canteens were modernised, improving menus and food quality systems.
The ongoing war has increased demand for school meals as a social safety net. Funding priorities include providing free meals for grades 1–4 and vulnerable children, and modernising school canteens. By 2026, the government aims to expand the reform: free meals for grades 1–4 nationwide and grades 5–11 in frontline territories starting in January, with full coverage for grades 5–11 by September. The programme is co-financed by the Ministry of Education and Science and WFP, with WFP support focused on frontline regions.
