Mykolaiv Increased Its Borrowing, While Odesa Repaid a Loan Worth One Billion

Mykolaiv, Odesa, and Kherson have different levels of local debt. Mykolaiv has the highest current debt burden among these cities, where the amount of debt in hryvnia terms depends on the exchange rate.

This is reported in an article by the Center for Public Investigations.

At the beginning of 2025, Mykolaiv had an outstanding loan of 1.8 million euros, or 77.1 million hryvnias. During the year, the city took out additional loans totaling 2.7 million euros, which amounted to 130.8 million hryvnias.

At the same time, in 2025, Mykolaiv repaid 189,000 euros, or 9.2 million hryvnias. However, due to exchange rate fluctuations, the hryvnia equivalent of the loan increased by another 14.6 million hryvnias. Thus, the reduction in debt resulting from the repayment was offset by exchange rate differences.

Infographic by the Center for Policy Research

In the first half of 2026, the city repaid an additional 143,700 euros, or 7.4 million hryvnias. The exchange rate difference for this period amounted to 5.7 million hryvnias.

A resolution passed at the end of 2026 set a local debt ceiling for Mykolaiv at 210.7 million hryvnias.

At the beginning of 2025, Odesa had no outstanding debt. During the year, the city council voted to take out a loan of 1 billion hryvnias, of which the city managed to draw down 80.2 million hryvnias. After the introduction of military administration, the funds received were repaid. Odesa did not take out any new loans in 2026.

Kherson has not taken out any new loans since de-occupation and has no outstanding loan debt.

Local councils may take out loans and provide budget guarantees for the debt obligations of enterprises. Therefore, when assessing the debt burden, not only the city’s direct debt but also its guaranteed obligations are taken into account.

Ірина Глухова