The Ukrainian military-industrial complex can increase production by 500% in 2024.

Ukrainian defense enterprises increased output by 200% in 2023, and in 2024, there is a potential to increase it by another 500%, said Oleksandr Kamyshin, Minister of Strategic Industries of Ukraine.

He gives his assurances regarding Ukraine’s ability to produce over one million FPV drones, more than 10,000 medium-range strike drones, and more than 1,000 long-range strike drones.

The minister added that the defense complex is ready to add almost a third – 1.5% – to Ukraine’s forecasted GDP 4.9% growth  next year.

He also drew attention to the growing role of the private sector in Ukraine’s defense. Private companies already account for 80% of defense enterprises in Ukraine (about 400 against 100 state-owned enterprises). Private companies’ production share is already approaching that of the state.

Kamyshin is convinced that defense expenditures from the state budget will be redistributed with an increased share to Ukrainian manufacturers of military products. Currently, out of about $50B in projected defense spending in 2024, only $5B will be spent on Ukrainian products.