EU to allocate hundreds of billions to strengthen defense

The EU is looking to release hundreds of billions of euros in additional defense financing, Bloomberg writes.

At the same time, Europe is facing two complex issues: its defense industry is underdeveloped and unprepared for rapid rearmament, while weapon stocks are practically exhausted due to support for Ukraine. Supporting local arms manufacturers requires time and money, which are in short supply. This situation forces the EU to seek any available resources, the agency noted. The defense plan of European Commission President Ursula von der Leyen “consists of three elements,” all of which are complex, and it is still unclear how effectively they will be implemented. The negotiations will primarily focus on excluding defense spending from the calculation of the budget deficit, which could amount to 1-2 percent of national GDP over the next two to four years, the sources stated. Additionally, von der Leyen has introduced the idea of potentially using unspent EU funds in closed discussions. European Council President Antonio Costa announced an extraordinary EU summit on March 6, where issues related to assistance to Ukraine and European defense will be discussed.