COMPENDIUM CULTURAL POLICIES AND TRENDS IN EUROPE
Print this Page
EN DE FR 
Print this Page
EN DE FR 

Ukraine/ 6. Financing of culture  

6.1 Short overview

According to the data of the State Statistics Office of Ukraine, the share of household budgets spent on culture in 2016 was 1.4%, which compared with 2015 (1.6%) and 2014 (1.8%) shows a critical decrease in cultural spending. This share was one of the smallest (along with Moldova and Bulgaria) in Europe. At the same time, Ukrainian households spend more on subsistence than any other European country – above 50%. Together with consumer goods, the share of household expenditure on subsistence constituted 93.2% in 2016.

The rise in the minimum wage per month to UAH 3 200 (105 EUR) in January 2017 (compared with UAH 1147 – 103 EUR in January 2013), along with inflation growth and a rise in prices for the main products explained the situation.

Graph 1:   Dynamics of Consolidated budget of Ukraine, expenses for culture and Index of consumer prices in % vs previous year

Source:    Verkhovna Rada Committee on Culture and Religions, 2016.

The level of public financing of culture has remained almost equal in real values at the end of the first decade, of the beginning and the middle of the second decade constituting in 2010, 0.55% in 2011, 0.57% in 2012, 0.56% in 2013, 0.55% in 2014, and 0.51% in 2016.

In 2017, the actual culture expenditure from the state budget constituted UAH 4 022.9 million, 67% more than in 2016 (UAH 2 408.9 million). This increase has impacted also on the share of costs for development from the state budget: UAH 187.8 million (or 4.7% of the total amount) versus UAH 46.58 million (1.93%) in 2016.  It is projected for 2018 to increase by a futher UAH 522.7 (10.2%).

Table 10:  State cultural expenditure in Ukraine, 2011-2018, UAH million

 

2011

2012

2013

2014

2015

2016

2017

2018 (projected)

Total expenditure

1 650.0

2 037.0

2 302.1

2 196.9

2 182.2

2 408.9

4 022.9

5 136.2

Including expenditure for development

50.0

71.8

36.2

 

55.8

52.15

46.58

187.8

522.7

Share (%) in total

3.0

3.3

1.57

2.5

2.4

1.93

4.7

10.2

Source:    State Treasury of Ukraine, 2017, Parliament Committee on Culture and Religions, 2017.

During 2014–2016, the dynamics of the State Budget of Ukraine surpassed the expenses dynamics of the Ministry of Culture of Ukraine. Culture and arts were not funding priorities. This is due to the need to strengthen the defense capacity, to pay off external debts, to refinance and support the banking system of Ukraine. However, a proactive increase in expenses of the Ministry of Culture of Ukraine compared to the general expenses of the State Budget of Ukraine is expected (2017–161,3% against 122,8%; 2018 – 127,0% against 112,7%).

Graph 2:   Dynamics of State budget expenses and Ministry of Culture expenses ( % comparing to previous year)

Source:    Verkhovna Rada Committee on Culture and Religions, 2016; Development Centre “Democracy through Culture”, 2016

After transferring financial liabilities in funding libraries to the local level within the frames of decentralization policies, the state culture expenses in terms of libraries were reduced by national and state libraries (see chapter 3.2) which explains the drastic decrease in the share of expenditure. Museums were funded earlier as well by local governments, thus the share of their expenses in 2016 wasn’t practically changed. Besides, more than 5% of additional expenditure was earmarked in 2016 to the National Remembrance Institute, including the Museum of the Revolution of Dignity, reflecting priorities of the culture policy. At the same time, it is necessary to note the significant share of theatre expenditure – 22.7% and State Film Agency support – 10.8%.

Table 11:  Share of main State culture expenditure in Ukraine in 2013 and 2016

Country

Year

Libraries

Museums

Music

Radio, TV, Press

Ukraine

2013

34%

6.5%

3.8%

19%

2016

appr. 7.5%

6.5%

3.1%

19.3%

Source:    State Treasury of Ukraine, 2017.

Table 12:  Maximum and minimum culture expenditure in Ukraine in 2011, 2012 and 2016

Year

Highest

Lowest

2011

Radio, TV, Press

Museums and archives

2012

Libraries

Music

2016

Theatres

Applied research in culture

Source:    State Treasury of Ukraine, 2017, Development Centre “Democracy through Culture”, 2015.


Chapter published: 09-02-2018

Your Comments on this Chapter?