Plus 65% for the year: revenues from tourism in the capital have grown to a historic high

22 August 16:47

Kyiv has recorded a record high in tourist tax during the martial law period. The collection from tourists in the first half of 2025 exceeded UAH 34 million, "Komersant Ukrainian" reports, citing a Facebook post by the KCSA’s Department of Tourism and Promotions.

In the first half of 2025, revenues to the capital’s budget from tourist tax amounted to UAH 34.8 million, the highest figure for this period of time for all the years since the beginning of the full-scale war. Compared to the same period in 2024 (UAH 22.6 million), the increase is more than 65%.

“The tourism sector is gradually adapting to the new reality and continues to be a source of economic growth for the city,” the KCSA said.

Officials also emphasized that the positive changes were made possible, in particular, thanks to the coordinated work of Ukrainian cities to develop domestic tourism, promotional activities in the international arena and within the country, as well as cooperation between the tourist community, business and local authorities.

The proceeds from the tourist tax are used to meet the priority needs of Kyiv, including infrastructure, utilities, and security.

Record revenues in 2024 became a growth point

In 2024, Kyiv also demonstrated a high rate of recovery: the city received UAH 50.83 million in tourist tax revenues for the year. This was the highest annual figure since 2019, when the capital last received a large flow of international tourists.

In previous years, the Ukrainian capital received such funds thanks to the tourism industry:

  • 2022 – UAH 38.8 million;
  • 2023 – UAH 38.5 million;
  • 2024 – UAH 50.83 million.

According to the KCSA, the lion’s share of revenues is generated by domestic tourists who discover new routes within Ukraine. The role of foreign tourism remains limited due to the security situation, but interest in Ukrainian cities from foreign media and volunteer communities is growing.

What is the reason for the growth in tourism revenues?

Industry experts point to several key factors:

  • Active promotion of domestic tourism: local authorities and businesses jointly promote cultural events, architectural routes, and gastronomic festivals.
  • Development of new tourist products: excursions to bomb shelters, military tours, and urban quests are emerging.
  • Support for the hotel sector: the capital has programs to support small businesses in the hospitality sector.
  • Improved statistical accounting: in 2023-2024, control over the legality of the hotel business was strengthened, which allowed for an increase in the number of official taxpayers.

Outlook for the second half of the year

In the second half of 2025, new initiatives are planned for further tourism growth in Kyiv: from the launch of English-language tourist routes to the opening of a renovated Tourist Hub in Podil. According to the city authorities, the annual tourist tax collection may exceed UAH 60 million.

These figures demonstrate that tourism is gradually returning to Ukraine, and even in difficult conditions it remains a powerful driver for local budgets and economic life.

Read also: Tourist tax increased in Lviv: what will change for city guests

What you need to know about the tourist tax in Ukraine

The rates of tourist tax in Ukraine are set by local councils and have the following limits: for domestic tourism – up to 0.5% of the minimum wage, for inbound tourism – up to 5% of the minimum wage.

The calculation is made per person per day of temporary accommodation, based on the minimum wage established as of January 1 of the reporting (tax) year. Given that starting from January 1, 2025, the minimum wage will be UAH 8,000, the maximum rate of the tourist tax may be up to UAH 40 per day for domestic tourism (0.5% of UAH 8,000) and up to UAH 400 per day for inbound tourism (5% of UAH 8,000).

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Specific tourist tax rates are set by local councils, so they may differ from place to place in Ukraine. This differentiation of rates between domestic and inbound tourism is aimed at supporting domestic tourism and more actively attracting funds from foreign tourists for the development of local infrastructure.

In practice, the tourist tax is most often included in the bill for accommodation in a hotel or other accommodation facility and then transferred to the local budget.

The following aspects are also taken into account when paying the tourist tax

  • local nature of the tax – each territorial community independently establishes the existence of the tax and its rate within the limits of the maximum amount;
  • different rates for different categories – local councils may set different rates for domestic and inbound tourism;
  • the duration of stay is not limited – the fee is charged for the entire period of stay, even if it is several months.

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Мандровська Олександра
Editor

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