Poland to finalise $27 billion in military deals under EU SAFE by end-May, PM says

WARSAW, May 28 (Reuters) – Poland will sign agreements by the end of May to finance military equipment worth 100 billion zlotys ($27.41 billion) under the European Union’s SAFE program worth 43.7 billion euros, Prime Minister Donald Tusk said on Thursday.

• Poland has signed its loan agreement under a European Union defence financing programme (SAFE) to strengthen its military as the bloc steps up efforts to boost security amid heightened geopolitical risks.

• Under EU rules, to benefit from SAFE funding, a single country must sign purchase agreements by the end of May. After this date, purchases must be made by at least two countries participating in the program.

• Prime Minister Tusk said that by the end of May, 100 billion zlotys had been allocated in approximately 40 agreements, and that over 10,000 Polish companies would benefit from the funds provided under the SAFE program.

• Poland is the biggest beneficiary of the 150 billion euro ($174.17 billion) SAFE initiative. Poland has emerged as Europe’s top defence spender by share of national wealth as measured by gross domestic product, and plans to spend 4.8% of GDP on defence in 2026.

• The country has placed large orders for tanks, artillery and air defence systems, while also seeking to expand domestic production in partnership with foreign manufacturers.($1 = 3.6478 zlotys)

($1 = 0.8613 euros)

(Reporting by Pawel Florkiewicz, Anna Wlodarczak-Semczuk, Alan Charlish; Editing by Sharon Singleton)