Brussels — European Union member states have agreed to establish a €150 billion Defense Industrial Readiness Loan Instrument (SAFE), aimed at strengthening the bloc’s defense capabilities in light of growing geopolitical threats. Ukrainian Prime Minister Denys Shmyhal confirmed the move on Wednesday, highlighting Ukraine’s formal recognition as a partner country in the initiative.
In a statement on X, Shmyhal said the agreement would enable Ukraine to participate in the EU’s joint defense procurement programs and integrate its defense industry into European supply chains. He described SAFE as a “crucial and urgent” measure to reinforce the security of both EU countries and Ukraine. “We are stronger together,” he wrote, expressing gratitude to European Commission President Ursula von der Leyen, Poland, and other EU partners for their support.
The SAFE instrument is designed to deliver substantial loans to defense manufacturers across the EU, enhancing industrial readiness in response to increasing security challenges on the continent. While the European Commission has yet to release a timeline for the plan’s rollout, the initiative signals a major step toward deeper defense cooperation between the EU and Ukraine.
