The European Commission has agreed on defense funding for the Czech Republic and France under SAFE
The European Commission has approved two national defense plans under the Security Measures for Europe (SAFE) initiative and submitted a proposal to the European Council to approve funding for the Czech Republic and France. The European Commission reported this in the European Commission.
The amounts of funding for each country were previously determined in September 2025, based on the principles of solidarity and transparency. After the conclusion of the loan agreements, the Czech Republic is to receive 2.06 billion euros, and France – 15.09 billion euros. This funding is expected to boost strategic capacity development in areas where the need is greatest.
The European Council will have four weeks to decide on the implementation. After that, the Commission will finalise the loan agreements, with the first disbursements expected to be made in April 2026.
The Council has already adopted the implementation decisions for 16 Member States. However, the European Commission has not yet agreed on the financing plan for Hungary. An EC spokesman said: “The assessment is ongoing and the Commission will approve the Hungarian plan when it is ready.”
In March 2025, the European Commission proposed the creation of SAFE. The program provides for joint borrowing and lending to EU member states, as well as partners, including Ukraine, to implement a project to strengthen defense capabilities and develop the European defense-industrial complex.
At the end of April, it became known that the European Commission would allocate 910 million euros within the framework of the European Defense Fund, which for the first time can be joined by Ukrainian defense companies. On May 27, the EU approved the creation of this fund.
SAFE (Support for Ammunition and armaments for Europe) is a new financial instrument of the European Union worth 150 billion euros. Its task is to stimulate the joint production of defense products in the EU, in particular ammunition, drones and air defense systems.
Loans will be provided on long-term and favorable terms. Production must consist of at least 65% components originating from the EU, Ukraine or EEA/EFTA countries. Limited participation of third countries under relevant agreements is also allowed if this will strengthen the defense capabilities of the European Union and support for Ukraine.
