Turning money into action: What next steps for European defence?
marianna.liana…
Tue, 03/11/2025 – 16:59
5 minutes
Amidst fears of American abandonment of Ukraine and Europe, EU leaders met on 6 March for a special summit on European defence. They endorsed President Von der Leyen’s ‘ReArm Europe’ plan which aims to unlock up to €800 billion for defence. The plan involves five main instruments: activating the national escape clause allowing Member States to remove defence spending from the excess deficit procedure; a new €150 billion loan instrument for common defence investment; making it possible for Member States to redirect cohesion funds towards defence; enhancing the role of the European Investment Bank (EIB); and mobilising private financing for the defence industry.A strong European defence requires a ramp-up of spending. However, this money must be turned into concrete capabilities. The plan’s focus on money and financing reflects the consensus reached within the EU on the necessary first step: a strong European defence requires a ramp-up of spending. However, this money must be turned into concrete …read more
