Ukraine's Zelensky says more money needed for war against Russia

Ukrainian President Volodymyr Zelensky has said that his country needs funds of more than $65 billion annually as it continues to battle against Russian forces.

"Ukraine must tackle a deficit of $40 billion. Ukrainian drone production currently requires $25 billion per year. That's already $65 billion to cover everything," the president told journalists, according to the Interfax-Ukraine news agency on Friday.

On top of drone production, there was also the cost of missiles and electronic warfare equipment, he said.

Zelensky said he had discussed the issue with his key Western backers, including European Council President António Costa, European Commission President Ursula von der Leyen, the US, NATO Secretary General Mark Rutte, French President Emmanuel Macron and British Prime Minister Keir Starmer.

Zelensky is also seeking to have the salaries of Ukrainian soldiers paid from abroad, arguing that the solders were a key part of Ukraine's defence capability and were helping to guarantee the security of the whole of Europe.

Soldiers on the front line receive the equivalent of just over €2,400 gross in pay per month.

More than half of Ukraine's national budget is financed from abroad, some $41 billion annually.

According to the Finance Ministry in Kiev, already this year the equivalent of around €30 billion in foreign funds will have flowed into the country.

Ukraine has a low-tax system under which a sole trader with a maximum turnover of €190,000 pays only 6% tax and minimal social security contributions, including a war levy.