European Commission plans to allocate around €20 billion to joint EU–Ukraine defence projects – Kubilius
The European Commission plans to use around EUR 20 billion in unused loan funds under the SAFE programme for a new call for defence project proposals involving EU countries and Ukraine. The initiative envisages projects in both Ukraine and the European Union.
European Commissioner for Defence and Space Andrius Kubilius announced this during a hearing of the European Parliament’s Committee on Security and Defence, Censor.NET reports, citing European Pravda.
According to Kubilius, these are funds that remain unused under the SAFE loan instrument. The European Commission intends to announce a new call for joint defence project proposals.
"The aim of this second call is to do more together with Ukraine, both in Ukraine and in the EU; both for Ukraine and for ourselves, given Ukraine’s leading role in defence innovation," the commissioner said.
The European Commission previously clarified that the final amount of unused funds would depend on the completion of loan agreements under SAFE. Current estimates suggest the amount could approach EUR 20 billion.
Ukraine is involved in the SAFE mechanism, which allows for joint procurement and defence industry projects involving Ukrainian companies.
Kubilius highlights Ukraine’s defence budget shortfall
The commissioner also stressed the need to increase support for Ukraine amid a funding shortfall for defence needs.
According to him, Ukraine’s defence budget shortfall this year amounts to EUR 23 billion.
Kubilius linked the funding shortfall, among other things, to some countries’ failure to fulfil their earlier commitments to support Ukraine.
"The reason for the shortfall is the unfulfilled promises made by some countries at the NATO summit in Ankara to provide more than EUR 40 billion," the commissioner said.
