19 EU countries ask the Bank to expand funding for defense sector
Kyiv • UNN
19 EU member states have asked the European Investment Bank to increase defense funding. The countries propose to expand the list of authorized activities and issue “defense bonds.
19 European Union countries have called on the European Investment Bank to expand its financing of the defense sector. The countries ask the EIB to help attract private financing for the security and defense sector.
This is stated in the letter, which is at the disposal of Radio Liberty, reports UNN.
Details
According to the newspaper, 19 EU countries called on the European Investment Bank to expand funding for the defense sector amid Russian aggression against Ukraine. The document was signed by the prime ministers and presidents of Finland, Belgium, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, France, Germany, Greece, Italy, Latvia, Lithuania, Luxembourg, the Netherlands, Romania, Slovakia, Spain, and Sweden.
Countries are asking the EIB to help attract private financing for the security and defense sector. The leaders of the 27 EU member states are to discuss the search for defense financing in more detail at a summit in Brussels on February 3, and the letter to the investment bank contains a list of proposals on how to do so
It is noted that last year, the European Investment Bank had already changed its policy and allowed investments in projects with predominantly military rather than civilian applications.
The signatories of the letter propose that the bank further expand the list of activities that it is allowed to support financially, so that it is not only about ammunition and weapons, but also, for example, loans for the construction of new factories. The bank is also asked to consider issuing “defense bonds
The letter, addressed to Polish Prime Minister Donald Tusk as President of the EU Council, European Council President Antonio Costa and European Investment Bank President Nadezhda Calvigno, also emphasizes that “in light of the current security challenges facing Europe, including Russia's war against Ukraine, it is crucial to take decisive action to strengthen Europe's overall defense readiness and capabilities, as well as its defense industrial base.
Recall
The President of the European Council announced the readiness of NATO member states in the EU to increase defense spending above 2% of GDP. Since 2022, military spending has already increased by 30%.
