An audit revealed an overpayment of $129 million in Ukraine’s secret defence procurements

An audit revealed an overpayment of $129 million in Ukraine’s secret defence procurements

An audit revealed an overpayment of $129 million in Ukraine’s secret defence spending.

This is reported by The New York Times.

According to the publication, state audits of the Ukrainian Defence Procurement Agency for the period from the beginning of 2024 to March 2025 uncovered dozens of contracts made with companies at inflated prices without explanation. The audit also found instances of delays, incomplete deliveries, and prepayments for undelivered weaponry. The total identified overpayment amounted to at least 5.4 billion UAH (approximately $129 million).

Other issues in Ukraine’s defence procurement system mentioned in the article:

– widespread use of intermediaries: last year, 83% of DPA contracts were made through them, with intermediaries receiving a 3% markup instead of direct interaction with manufacturers;

– a chaotic supplier market: Ukraine procures weapons from more than two thousand suppliers, including recently established companies and small workshops, often without verifying their production capabilities;

– low efficiency: out of 35 types of Ukrainian surface and underwater drones, only three actually struck Russian ships.