Poland has become the first European Union country to officially join the EU’s SAFE defense financing program, securing access to €43.7 billion ($51.5 billion) in low-interest loans aimed at strengthening military power and expanding Europe’s defense industry, according to Anadolu.
The agreement was signed in Warsaw on Friday by Poland’s Deputy Prime Minister and Defense Minister Wladyslaw Kosiniak-Kamysz and Finance Minister Andrzej Domanski. Representing the European Commission were EU Budget Commissioner Piotr Serafin and Defense Commissioner Andrius Kubilius.
The SAFE program, created by the European Union, plans to provide up to €150 billion in defense loans to member states by 2030. The initiative was designed to help European countries modernize their armed forces and increase cooperation in defense production as security concerns continue to rise across the continent.
Calling the agreement “an investment in the security of Poland and Europe,” Kosiniak-Kamysz said most of the money would stay inside the country. According to the Polish government, nearly 89 percent of the funding will support domestic defense companies and military related infrastructure projects.
The money is expected to strengthen Poland’s Eastern Shield border defense system, improve anti-drone and air defense technology, and support artillery purchases and military transport upgrades. Officials said the first payment of around €6.5 billion could arrive later this month.
EU officials described the deal as a major step toward stronger European defense cooperation. Kubilius warned that Russia’s war in Ukraine has changed Europe’s understanding of security, saying the continent must now focus on “deterrence, resilience, and industrial readiness.”
Poland already spends more than 4 percent of its GDP on defense, the highest share in NATO. Since Russia invaded Ukraine in 2022, Warsaw has launched one of Europe’s largest military modernization programs, buying tanks, fighter jets, missile systems, and artillery from the United States and South Korea while also expanding its own defense industry.
The agreement also sparked political debate inside Poland, where critics fear growing EU influence over national defense policy. Still, Prime Minister Donald Tusk’s government argues the funding is essential for protecting the country in an increasingly uncertain Europe.
