Zelenskiy says balance needed between mobilisation and economy

KYIV (Reuters) - Ukrainian President Volodymyr Zelenskiy said on Tuesday that a balance was needed between mobilising troops and keeping the war-ravaged economy running.

Answering a question from a worker during his visit to an industrial facility in Kropyvnytskyi in central Ukraine, Zelenskiy said filling jobs was vital to paying for soldiers' salaries and Ukraine's defence efforts.

"Everyone is interested in having fully staffed factories. This is important to us. We cannot afford to lose our army and its reserves, but it is also very much needed that we have workers for our jobs. We must find balance," he said.

The war with Russia that is now in its 30th month is draining the Ukrainian workforce, with more than 70% of businesses saying labour shortages were among their key challenges.

Since Russia's invasion in February 2022, millions of people fled the fighting and settled in Europe, while tens of thousands of Ukrainian men were mobilized to the armed forces.

The government has recently strengthened rules for mobilisation as it needs to rotate tired and exhausted troops.

But Ukraine needs to sustain its economy to ensure it has enough state revenue to fund its defence efforts.

Ukraine's 2024 budget planned to spend nearly $40 billion — about half of its total expenses — on defence. Defence spending is covered by taxes and other state revenues.

The government relies on financial support from its Western allies to finance social and humanitarian spending.

(Reporting by Olena Harmash; Editing by Rod Nickel)