15 EU Member States Plan Joint Arms Procurement With Ukraine Under SAFE Loans

Fifteen EU member states plan to use part of the bloc’s SAFE defense-loan envelopes for joint procurement projects with Ukraine, according to a European Commission statement on January 29. 

Under the Security Action for Europe (SAFE) scheme, only EU countries can borrow, but Ukraine can take part in common procurement, and EU participants can buy eligible items from Ukraine’s defense industry, the European Commission says.

What SAFE will fund

SAFE loans can finance two sets of defense capabilities.

The first covers high-volume needs such as ammunition and missiles, artillery, ground forces and support equipment, small drones and counter-drone systems, protection of critical infrastructure, cyber defense, and military mobility.

The second covers more complex systems, including air and missile defense, maritime surface and underwater capabilities, larger drones and counter-drone systems, strategic enablers such as C4ISTAR and space assets, and technologies such as artificial intelligence and electronic warfare.

How much money has been approved so far

The Commission has so far endorsed national defense investment plans for 15 member states, with combined loan ceilings of about $135.2 billion.

In the first wave proposed to the Council on January 15, the Commission said the eight plans would amount to about $45.5 billion once loan agreements are signed, with country envelopes of about $10.0 billion for Belgium, $3.9 billion for Bulgaria, $56.0 million for Denmark, $1.2 billion for Spain, $2.0 billion for Croatia, $1.4 billion for Cyprus, $7.0 billion for Portugal and $20.0 billion for Romania.

Commission President Ursula von der Leyen said “the others will follow shortly after.” 

In the second wave proposed on January 26, the Commission said another eight plans would amount to about $89.7 billion, covering envelopes of about $2.8 billion for Estonia, $1.2 billion for Finland, $942.7 million for Greece, $17.8 billion for Italy, $4.2 billion for Latvia, $7.6 billion for Lithuania, $52.3 billion for Poland and $2.8 billion for Slovakia.

The Commission said the Council has four weeks from each submission to adopt implementing decisions, after which loan agreements would be finalized, with first payments expected in March 2026. 

Earlier, it was reported that several European governments planned to request EU loans under the SAFE‑like scheme to boost defense capabilities and support Ukraine, with joint procurement expected to reduce costs and expand armament deliveries.

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