EU Begins Negotiations on the Creation of a Joint Defense Fund

The finance ministers of European Union countries have expressed interest in the initiative to create a joint defense fund aimed at the procurement and management of defense equipment. However, some of them noted that before starting the establishment of the fund, existing financial possibilities need to be carefully considered.

This is reported by AgroReview

Prospects for the Joint Defense Fund

Discussions on this initiative are taking place in the context of increasing threats from Russia, prompting Europe to activate defense measures. To enhance security, the EU, along with certain partners such as the UK, Ukraine, Norway, and Canada, could create an intergovernmental fund that would borrow funds from the market for joint procurement of expensive military equipment.

Spain’s Proposals

At the same time, Spain has proposed the development of a temporary financial instrument to support large-scale pan-European projects. Madrid is offering not only preferential loans but also grants for EU countries, especially for those most affected by threats from Russia. Spain is also calling for the use of part of the frozen assets of the Russian Federation to finance military assistance to Ukraine.

“We must find effective solutions to strengthen our defense,” the ministers stated.