The European Commission plans to use unspent funds from the SAFE defense loan program for joint projects with Ukraine’s defense industry. The amount is estimated at approximately €10–20 billion; however, EU member states were not consulted in advance about the proposal, RMF24 reports, writes UNN.
Details
European Commission President Ursula von der Leyen announced the plan. According to her, the funds remaining in the €150 billion SAFE program will be used to launch a new program of joint projects with Ukrainian companies.
EU Commissioner for Defense Andrius Kubilius said that the final amount is not yet known, but it could range from €10 billion to €20 billion.
EU countries say they were not consulted about the plan
According to RMF24, von der Leyen’s statement came as a surprise to Poland and some other EU countries. "There was no such discussion with the European Commission," one diplomat in Brussels told the outlet.
Poland had previously expected to participate in the second round of SAFE and use funds that other countries would decline for its own defense projects. Following von der Leyen’s statement, the implementation of such a plan has been called into question.
One possible area of funding could be the joint European-Ukrainian project for the FREYA air and missile defense system, which is being planned as a cheaper alternative to the American Patriot.
The exact amount of unused SAFE funds will become known after EU countries provide the European Commission with information on the implementation of their projects by the end of October. According to RMF24, Brussels is seeking additional funds to support Ukraine’s defense needs.