Poland signs $51.5bn SAFE defence loans agreement with EU

Poland has obtained €43.7bn ($51.5bn) in financing through a loan agreement under the European Union’s Security Action for Europe programme.

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Poland signs $51.5bn SAFE defence loans agreement with EU

The SAFE programme was launched in response to the war in Ukraine and changes in Europe’s security environment.

Signing of the SAFE agreement. Credit: Poland Ministry of National Defence.

Poland has obtained €43.7bn ($51.5bn) in financing through a loan agreement under the European Union’s (EU) Security Action for Europe (SAFE) programme, marking the largest single allocation of funds within the initiative.

This move positions Poland as the first EU member state to access the SAFE programme, intended to support modernisation and expansion of national military forces amid increased geopolitical tensions.

The agreement, signed on 8 May 2026, directs financing towards strengthening Poland’s defence capabilities.

According to officials, the funding will facilitate new contracts for national defence production plants, play a role in increasing domestic employment, and contribute to the Polish economy.

The government plans to route the funds through the National Development Bank to support the Armed Forces Support Fund.

The SAFE programme, developed following a Council of Ministers resolution, aims to enhance the combat readiness of the Polish Armed Forces, bolster the national defence industry, and reinforce internal security.

A significant proportion of contracts and orders under the initiative are expected to go to local manufacturers, with 11,981 entities participating in the programme.

Polish Prime Minister Donald Tusk said: “This is a massive amount of money that will be invested directly into Polish security, Polish defence industry, Polish companies that cooperate with the defence industry, in our technological capabilities.

“We are all hopeful that we will not have to contend with open conflict, but we know the time and place we live in, so we want to make sure that our Armed Forces and the Polish defence industry will be able to meet any challenge.”

The SAFE programme was launched in response to the evolving security environment resulting from the ongoing war in Ukraine.

Poland’s position at the EU’s eastern frontier, sharing borders with Ukraine, Belarus, and Russia (via the Kaliningrad region), has placed its security policy under increased focus.

Recent figures cited in Secretary General Mark Rutte’s annual report indicate Poland has allocated 4.3% of its GDP to defence, surpassing the 3.5% target set for Nato members.

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