Green light was given by its General Affairs Council for the creation of “Safe”. The new lending tool had been proposed
Through SAFE, the EU will allocate up to 150 billion euros, which will be disbursed in interested Member States on request and based on national plans. The disbursements will take the form of long -term loans at competitive prices, which will be repaid by the beneficiary Member States.
The SAFE financial tool will provide low -profile perennial loans of up to € 150 billion, which will guarantee the EU budget.
The window to participate in third -country country and Turkey
Based on the legislative act of the “Safe” approved, the road to the participation of third countries, such as Turkey, is paved in European defense. According to the EU announcement “Safe opens a new chapter in cooperation with third countries. Ukraine and the EEA-Jews (Switzerland, Iceland, Liechtenstein and Norway) will be treated on the same terms as the Member States. Not only will they be able to participate in common supplies, but also buy from their industries.
“Safe” will also allow accessible countries, candidate countries, potential candidate countries and countries that have signed corporate security and defense relations with the EU, such as the United Kingdom, to participate in joint supplies.
In addition, SAFE offers the ability to conclude additional bilateral or multilateral agreement with these third states, under which eligibility conditions could be opened. “.
What do all of the above mean in practice? That Turkey is not excluded from its participation in programs. In addition, Turkish defense companies will be able to participate through joint ventures and relevant shareholder agreements.
What actions concern
Eligible activities to be funded through SAFE will concern the first list of priority sectors identified by the European Council on March 6, 2025 and divided into two categories of defense products:
- Ammunition and artillery rockets and artillery systems, including the potential for precision-in-depth capabilities- soil battle capabilities and their support systems, including the equipment
- Air Defense and Rocket Defense Systems- Marine Surface and Underwater Opportunities- Unmanned Aircraft and Systems of Unmanned Aircrafts- Strategic Catalyst Intelligence and Electronic War.
Category 2 defense products will be subject to stricter eligibility terms, demanding that the contractors have the opportunity to decide on the definition, adaptation and evolution of the design of the defense product supplied.
The security valve for the participation of third countries
For both product categories, procurement contracts should ensure that the cost of construction data from countries outside the EU, EEA-Hezes and Ukraine states does not exceed 35 % of the estimated cost of the construction elements of the finished product.
The EU is committed to further reinforcing and further deepening transatlantic cooperation and commitment to the field of security and defense, as well as complementarity with NATO. “In this context, Safe will try to enhance interoperability, continue industrial cooperation and ensure mutual access to cutting -edge technologies with reliable partners,” the statement concludes.
