The Press Junction.
The Press Junction.
18 May 2026

Poland borrows 44 billion euros from European Union to modernize army

© picture alliance / Anadolu | Omar Marques

Poland is the first EU member state to sign a loan agreement under the European Union's Security Action for Europe (SAFE) initiative. The European Commission is lending the country nearly 44 billion euros through the SAFE program.

At the signing, Polish Prime Minister Donald Tusk called the agreement "a turning point in the history of both Poland and the European Union". The money is for investment in defense infrastructure, the domestic arms industry and technological development.

SAFE is part of a €150 billion EU program designed to strengthen collective defense against threats from Russia and Belarus. Poland, as the largest beneficiary of the initiative, pushed ahead with the deal despite opposition from nationalist Polish President Karol Nawrocki. Nawrocki and the opposition argued that SAFE would be a thorn in the side of the U.S., a key Polish ally, by prioritizing European arms purchases at the expense of U.S. suppliers, and that it would make Poland dependent on Germany and the EU.

Poland already leads Europe in defense spending as a percentage of GDP, with 4.8 percent allocated to the military by 2026. The country already placed significant orders for tanks, artillery and air defense systems, while domestic arms production is being expanded.

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