EU Defense Loans: Poland Leads the Charge in SAFE Initiative

The European Union has announced that its 150 billion euro initiative for defense projects has been fully subscribed by 19 member countries, according to the European Commission. Known as the Security Action For Europe (SAFE), this scheme is designed to enhance the EU's military capabilities amid escalating threats from Russia and Belarus.

EU Defence Commissioner Andrius Kubilius stated, "Interest from member states has surpassed expectations." Poland secured the largest share of the loans, at 43.7 billion euros, with Romania, Hungary, and France also obtaining significant portions of the funds. Italy, Belgium, and several other nations are also beneficiaries, though eight countries chose not to participate.

The countries involved are now tasked with drafting investment plans to be submitted by November's end for Commission review. Initial disbursements are expected to begin in early 2026. The loans feature favorable terms, including a 10-year grace period, and open opportunities for collaborations with non-EU countries like Norway and Britain.

(With inputs from agencies.)