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Ukraine’s government has prepared a draft budget for 2026, targeting a deficit of 18.4% of gross domestic product, with a significant increase in funding for defense, Prime Minister Yulia Svyrydenko said on Monday. The draft budget outlines 2.8 trillion hryvnias ($67 billion) in revenues and approximately 4.8 trillion hryvnias in expenditures, Svyrydenko stated in a post on the Telegram app, as reported by Reuters. She noted that Ukraine plans to boost its budget revenues by about 447 billion hryvnias next year, though she did not specify which measures would be used to achieve this. A large portion of state revenues will be allocated to defense. Budgeted defense spending is set to rise by 168.6 billion hryvnias, reaching around 2.8 trillion hryvnias—or approximately 27.2% of GDP—in 2026. The Finance Ministry said the draft budget includes plans for approximately 2.1 trillion hryvnias ($50 billion) in foreign financing next year.

Ukraine Plans 2026 Budget with 18.4% Deficit

The Indonesian government expects the USD 12 billion it has allocated to state-owned banks to jumpstart its flagship plan to establish 80 thousand village cooperatives nationwide, following a sluggish start to the initiative, a senior minister said on Monday, as reported by Reuters. The "Red and White Cooperatives" program is designed to stimulate rural economic growth and create jobs at the village level. It forms a key part of President Prabowo Subianto’s strategy to boost economic growth to 8%, up from the current rate of around 5%—a goal he campaigned on during last year’s presidential election. “The money is now available at state banks,” said Zulkifli Hasan, the senior minister overseeing the cooperative program, noting the slow progress since the plan’s launch in July. Last week, Finance Minister Purbaya Yudhi Sadewa deposited IDR 200 trillion (USD 12.2 billion) of government funds with five state banks, designating the funds specifically for lending purposes.

Indonesia Expects State Bank Funding to Spur Village Co-op Programme

Total passenger vehicle sales in India dropped by 9.0% year-on-year to 280,839 units in August 2025, reversing a 1.5% rise in the previous month, according to data from the Society of Indian Automobile Manufacturers (SIAM). The figures exclude sales from BMW, Mercedes-Benz, Jaguar Land Rover (JLR), and Volvo. The decline came primarily due to the recalibration of dispatches by passenger vehicle manufacturers, said Rajesh Menon, Director General of SIAM. "The landmark decision of the Government of India to reduce the GST (Goods and Services Tax) rates on vehicles will go a long way in enabling broader access to mobility and injecting fresh momentum into the Indian automotive sector in the upcoming festive season,” he added. On a monthly basis, sales plunged 6.8%, following a 9.2% surge in July.

India Passenger Car Sales Fall 9% in August

The NZX 50 fell 23 points, or 0.2%, to 13,186 in early trading on Tuesday, marking its second consecutive session of losses and hitting its lowest level since September 4. Traders remained cautious ahead of the release of Q2 GDP data later this week. A Reuters poll indicated that New Zealand's economy is expected to contract by 0.3% qoq, aligning with the RBNZ’s estimates, after recording growth in the previous two quarters. Investor sentiment was also weighed down by caution ahead of the Fed's interest rate decision on Wednesday. However, losses were capped by an upbeat session on Wall Street overnight, buoyed by signs of progress in US-China trade talks and optimism surrounding the Fed’s upcoming monetary policy decision. Utilities, consumer discretionary, and real estate sectors were the main drags on the index, with notable losses from Hallenstein Glasson (-2.0%), Vector Ltd (-1.9%), Briscoe Group (-0.9%), and Westpac Banking Corp. (-0.5%).

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