Telemarathon "United News": A Typical Example of the “Loss Economy”

15 January, 11:14
​​​​​​​Since the beginning of Russia's full-scale invasion of Ukraine, several national TV channels have united into a single informational space—the telethon.

he idea seemed noble: prompt, comprehensive, and, most importantly, controlled information dissemination to citizens about the current situation at the frontline and on the home front. However, as often happens, reality turned out to be far from expectations.

High Costs with Little Impact

In its first year of operation, the telethon's expenses seemed relatively optimistic: the 2023 budget allocated ₴535 million for it. However, after budget adjustments, this figure grew to ₴1.94 billion. In 2024, the telethon cost the country ₴1.7 billion, and expenses remain consistently high this year: ₴1.5 billion has been allocated for the telethon itself, with an additional ₴78.2 million for supporting the Rada channel, totaling ₴1.6 billion.

Why Is This a Problem?

  1. Declining Trust
    Statistics indicate a steady loss of trust in the telethon, and, consequently, in state policy. In December 2023, 43% of viewers trusted the telethon; by February 2024, this figure had dropped to 36%. Meanwhile, the share of those who distrust it increased from 38% to 47%. These numbers highlight that something needs to change—the project is failing to fulfill its primary function.

  2. Deviation from Its Purpose
    The telethon has failed to serve as a moral compass for society. Instead of fostering resilience and publishing truthful news, it resembles enemy state-controlled information channels, presenting clumsy attempts to convince viewers that everything is perfect on our side and disastrous for the enemy. This falsehood, particularly in the harsh conditions of war, only deepens public disillusionment, when what’s needed is an honest depiction of reality, however painful it may be.

  3. Inefficient Spending
    If citizens neither trust nor watch the telethon, why continue allocating billions to it? Isn’t this a textbook case of criminal negligence? Why does the state increase funding for a project with plummeting performance metrics instead of auditing its flaws and seeking more effective alternatives? Are there no other priorities for these funds?

The Loss Economy in Action

The telethon phenomenon vividly illustrates the so-called “loss economy,” a model of a corrupt system where significant budgetary resources are funneled into unprofitable and inefficient projects that nonetheless yield direct benefits to those managing their financing and implementation.

The increase in telethon funding, despite its clear inefficiency, can only be explained by the high potential for “budget exploitation.” Funds flow through intricate schemes of contracts, partnerships, and subsidies, enriching interested parties along the way. Who is responsible for this? Why does no one seem to care?

Is There an Alternative?

  • Transparency in Financing
    It is essential to understand where the allocated funds are going, who the contractors are, and how spending efficiency is evaluated.

  • Change in Concept
    The telethon as a format has outlived its usefulness. Instead, efforts should focus on supporting independent media that create diverse content that genuinely attracts audiences—or at least stop hindering them.

  • Audit of Results
    Auditing expenditures and contractors, along with publicly reporting results and spending, is the first step toward restoring citizens’ trust.

Conclusion

The telethon in its current form is not just a failure of an informational campaign, but a glaring example of wasting state resources. Continuing to fund such a project without structural changes and transparency will only deepen public disillusionment and harm the state’s reputation. It is time to demand accountability for every hryvnia spent.