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The Government Question Hour in the Verkhovna Rada on July 3 was more than a routine parliamentary report on the economy, agriculture and environmental security. It revealed the central challenge of Ukraine’s present reality: how to keep the economy functioning while missiles strike cities, farmers work near the front line, businesses prepare for another difficult winter, and the environment continues to suffer the consequences of Russia’s war.

The key report was delivered by Oleksii Sobolev, Minister of Economy, Environment and Agriculture of Ukraine. His message was built around the logic of an integrated ministry — one that brings together areas that the war has already merged in real life: capital, land, water, forests, labour, industry, agricultural production, environmental control and Ukraine’s European integration agenda.

Business: From Affordable Loans to Energy Resilience

The first part of the minister’s report focused on business support. According to Oleksii Sobolev, more than 155,000 loans worth UAH 548 billion have been issued under the “Affordable Loans 5-7-9%” programme. Another 36,000 entrepreneurs have received microgrants under the “Own Business” programme. From September, the government plans to update the conditions under which businesses may receive grants of up to UAH 2.5 million.

A separate emphasis was placed on the “Made in Ukraine” policy. Its logic is clear: public and local procurement should generate demand for Ukrainian producers whenever goods can be manufactured in Ukraine. In wartime, this is not only an economic instrument. It is about jobs, taxes, industrial capacity, local production chains and the ability of the country to reduce critical dependence on external supply.

The government is also preparing businesses for the next winter. Small businesses are expected to have access to loans of up to UAH 10 million at 0% for their own power generation. Medium-sized businesses may receive up to UAH 250 million under the 5-7-9% programme. Large businesses may access loans of up to EUR 25 million at 10%. In addition, a market for long-term electricity contracts is expected to be launched so that companies can plan their work more predictably.

Frontline Business: Insurance, Recovery and Unequal Conditions

One of the most important themes was support for enterprises affected by shelling and missile attacks. The minister outlined a package of tools: grants for restoring production equipment, war risk insurance, compensation of wages for employees during downtime, the “Point of Support” programme and a separate recovery loan programme within the 5-7-9% framework.

For frontline regions, unconditional insurance coverage of up to UAH 30 million per facility is provided. For the rest of Ukraine, the mechanism involves partial compensation of insurance premiums. According to Sobolev, 152 applications for more than UAH 4 billion in coverage have already been approved, while 71 business applications have been received under the premium compensation programme.

Agriculture: Harvest Potential and Risks Beyond Statistics

In the agricultural part of the report, the minister identified two acute challenges: drought, water shortages for irrigation following the loss of the Kakhovka Reservoir, and mined agricultural land. For the 2026 harvest, Ukrainian farmers have sown more than 20 million hectares of winter, spring and oilseed crops. The expected harvest is 81–83 million tonnes, which should cover domestic needs and preserve Ukraine’s export potential.

At the same time, the discussion made clear that agricultural policy for frontline regions cannot be reduced only to drought and demining. The real situation also includes security risks: fires in fields, direct attacks on crops, damaged logistics and the fact that people continue to work under constant threat.

In response, Sobolev confirmed support for draft law No. 15123 concerning the minimum tax liability for farmers in frontline territories. The ministry supports reducing the tax burden for farmers who continue to work under unequal wartime conditions.

The government is also expanding support for irrigation and land reclamation by increasing compensation for farmers and water user organisations in frontline areas. More than UAH 2 billion has also been returned to farmers as compensation for Ukrainian-made machinery, while new support tools include compensation of up to UAH 1,000 per hectare for purchasing domestic mineral fertiliser complexes.

Demining: Land as an Economic Resource

On humanitarian demining, the minister stated that 16,000 hectares of land have already been returned to economic use, with UAH 1.7 billion in financing provided. According to the government’s assessment, just one harvest from these lands may generate more than UAH 1 billion in gross income for farmers.

This is an important shift in perspective. Demining is not only a security or humanitarian operation. It is also the return of land to economic life. It means work for people, taxes for communities, food security and a concrete contribution to territorial recovery.

Environment: European Rules in Wartime Conditions

The environmental part of the report had a clear European integration focus. The minister referred to draft laws on launching a national greenhouse gas emissions trading system, regulating ozone-depleting substances and fluorinated greenhouse gases, sustainable investments, taxonomy, waste management and stronger liability for violations in this area.

For the first time since the beginning of the full-scale war, groundwater monitoring has been restored at 553 observation points. For a country that has faced the destruction of the Kakhovka Reservoir, constant attacks on infrastructure and massive environmental damage caused by the war, this is not a technical detail. It is a question of the future security of communities.

A separate point concerned the future law on emissions trading. According to the government’s logic, Ukraine’s carbon tax should be paid in Ukraine and should provide direct access to investment for modernisation. This means that environmental policy is gradually becoming part of industrial modernisation rather than a separate administrative burden on business.

Human Capital: Labour Code, IDPs and Farmer Reservation

Labour shortages were one of the central issues in the minister’s report. Sobolev described human capital as the number one issue for business. In this context, the government is asking Parliament to support the new Labour Code in the first reading. The current Labour Code, adopted in 1971, was described as morally and functionally outdated.

According to government calculations, reducing the shadow labour market alone could bring approximately UAH 43 billion per year. However, in Ukraine’s current reality, new labour rules must not become only a tool for business flexibility. They must balance labour market adaptability with employee protection, the needs of internally displaced persons, veterans, small employers and enterprises operating under the risk of shelling.

The issue of reserving key agricultural workers from mobilisation was also raised during the discussion. The minister explained that farmers cultivating less than 1,000 hectares should apply to regional military administrations according to regional criteria. According to the minister, there are 225 such criteria in total. At the same time, the discussion itself demonstrated that, for small farmers, the reservation procedure must not become an additional administrative barrier.

Regional Voice: Comment by Ruslan Shamrin

This comment is important because it brings the discussion back from the level of ministerial programmes to the level of community life. For industrial regions, economic policy is not abstract macroeconomics. It is railway tariffs, access to fuel, stable logistics, own energy generation, the reservation of specialists, property insurance and the ability of enterprises to continue working after another attack.

Macroeconomic Framework: A Positive Forecast After a Difficult Winter

In the final part of his report, Sobolev acknowledged that the winter was the most difficult since the beginning of the full-scale war and caused an economic downturn. At the same time, according to him, this downturn has already been compensated, and in May the economy resumed growth. Last year, the economy grew by 1.8%, while the forecast for the current year is plus 1.6%. Inflation slowed to 8.2%, budget revenues grew by almost 20% over five months, the average wage increased by 22%, and international reserves are sufficient to cover 4.7 months of imports.

The minister also thanked Parliament for adopting more than 10 laws required to meet conditions under the Ukraine Plan and unlock financing. According to Sobolev, Ukraine received more than EUR 5 billion thanks to the fulfilment of these obligations.

Conclusion

The Government Question Hour showed that Ukraine’s wartime economy can no longer be viewed separately from security, agriculture, environment, energy, labour policy and European integration. Minister Sobolev’s report attempted to describe this system as a single organism. The parliamentary discussion showed where this organism feels the greatest pressure: frontline farmers, worker reservation, fuel, tariffs, labour shortages, environmental risks, state-owned enterprises and communities preparing for another winter.

For Ukraine, the main criterion of success will not be the number of programmes mentioned in a report, but the speed and precision of their implementation. In Ukraine’s current reality, economic policy is measured very simply: whether a factory continues to operate, whether a field is sown, whether a community has heat, whether businesses have people, whether demined land returns to use, and whether Ukrainians can continue to work and live in Ukraine.