Von der Leyen: Ukraine to gain access to new EU defense loan program

The security of Ukraine is the security of the EU and the whole of Europe, and that is why Ukraine will receive an opportunity to participate in projects under SAFE (Security Action for Europe), the new EU loan program worth up to EUR 150 billion, stated the President of the European Commission, Ursula von der Leyen today in Brussels during a press conference following the European Council in Brussels, an Ukrinform correspondent reports.

Ukraine and its impressive defense industry will be able to participate in a joint order under SAFE. Given that the security of Ukraine concerns not only the security of the European Union, but also the security of the whole of Europe, the EU will also open such opportunities for associated partners to join programs under SAFE, the President of the European Commission said.

She recalled that during the summit of European leaders, the European Commission presented a White Paper on the European defense future, which was a very timely discussion, because the competitiveness of the European economy and Europe’s defense are two sides of the same coin.

Progress on the issue has become an absolute necessity, the Commission President said, recalling that two weeks ago, during the Extraordinary European Council, leaders reached a historic decision to increase EU’s defense capabilities and defense spending, and on March 20, the Readiness 2030 was presented.

She noted that the European Commission is proposing several ways to increase defense budgets. The first one concerns the activation of a national escape clause that will allow member states to increase defense investments without triggering the excessive budget deficit procedure.

The second element is the SAFE program, a new loan instrument with a capacity of EUR 150 billion, which will become the basis for joint defense procurement and defense cooperation between member states.

Finally, member states can voluntarily, if deemed necessary, utilize funds from European budget programs, originally intended for regional development purposes, for defense investments.

As Ukrinform reported earlier, the European Council was held in Brussels on Thursday, where the main topic was the competitiveness of the European economy. During the summit, European leaders held a virtual conference with Ukrainian President Volodymyr Zelensky, and continued the discussion on strengthening support for Ukraine, which was launched on March 6 during the Extraordinary European Council.

Photo: PAP/EPA

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