Remarks by Executive Vice-President Virkkunen and Commissioner Kubilius on the allocation of loan amounts to Member States under SAFE
European Commission
Speech
Sep 9, 2025
Strasbourg
"Check against delivery"
Executive Vice-President Henna Virkkunen
Good afternoon ladies and gentlemen,
Today marks another important milestone for the future of Europe.
Let me start by stressing how our security environment has drastically changed over the last years.
Europe is facing serious threats - as Russia has shown, once again, with the strikes against Ukraine over the past weekend.
And these threats are wide ranging.
From conventional warfare and bombing of peaceful cities, to cyber and hybrid attacks, masked by propaganda and disinformation.
Acts of sabotage threatening our critical infrastructure, carried out by hostile foreign state actors.
According to threat assessments by EU intelligence services, Russia will have the capacity to test Europe´s military capabilities and unity within the next 3 to 5 years.
These challenges pose a direct threat to our continent.
To our citizens.
To our way of life and our ability to make independent choices about our future.
This is precisely why Europe has to be ready.
Europe needs to step up.
We need to immediately ramp up, to re-establish our defence readiness and deterrence by 2030.
This is why last March, together with Commissioner Kubilius, we presented the Readiness 2030.
It is an ambitious defence package, providing financial leverage to EU Member States, including our SAFE instrument.
And this package has already received overwhelming support from our Member States.
More than half of the Member States have requested the activation of the national escape clause in the framework of the Stability and Growth Pact, making use of the flexibility to increase their defence spending.
And now, 19 Member States will receive 150 billion euros of loans under SAFE, at their own request.
I am pleased that many Member States have also expressed interest in participating in joint procurement plans, even if they have not had to utilize the SAFE instrument so far.
The SAFE instrument also allows Member States to support Ukraine in its brave defence against Russia's illegal war of aggression.
Before Commissioner Kubilius goes into more details about the SAFE instrument, please let me recall that these measures are not only about spending more.
They are also about spending better, together, and more European.
Joint European procurement does not only increase our deterrence. It also builds European defence industrial base, and strengthens our ability to act in all situations.
This Commission takes re-armament of Europe very seriously: in the new MFF proposal, defence and space spending will increase fivefold to 131 billion euros.
This is the largest single incremental portion of the entire budget.
So thank you dear Andrius, and all our services, for the great work done, and the impressive results achieved on the SAFE regulation in record-time.
Well done!
***
Commissioner Andrius Kubilius
Today I am proud to present a European success story.
A big step forward for our defence readiness.
Today the Commission agreed on the tentative allocation of defence loans under SAFE.
Allowing immediate and massive scale up of the purchase of defence equipment. Boosting our European defence production.
In brief - what is the essence of today's communication.
First of all, I would like to remind, that The Security Action for Europe, SAFE, is an integral part of the ReArm Europe - Readiness 2030 package.
SAFE is a financial assistance to Member States for the first time ever in defence at EU level.
That is why SAFE stands as a historic European defence instrument, backed by the EU budget guarantee, providing up to EUR 150 billion of attractive loans to EU Member States to bolster EU defence readiness and to incentivise joint procurement.
It also includes provisions to support Ukraine by enabling joint procurement efforts with, in, and for the country.
Today we can announce that all 150 billion euros of loans are subscribed by 19 EU Member States. Some Member States were not taking SAFE loans, because they can borrow in the markets themselves with the same price as EU.
This Communication includes the tentative allocation per Member State, based on their declared interest. Here was no special key for allocation.
You can see the numbers. Later on I will explain more details about the numbers. Now, I would like to point out the countries, which have declared the biggest interest and received corresponding allocation: Poland - 43.7 billion, Romania - 16.7 billion; France and Hungary - 16.2 billion; Italy - 14.9 billion euros.
I would like also to remind, that when SAFE was announced early in spring, here was a lot of skepticism about possible low interest to take the loans. The contrary is true. The interest from the Member States have been a resounding success: the maximum requests - well beyond the EUR 150 bn available. This is a European success.
Very important is also a fact regarding Ukraine, - a majority (13) of the Member States, which requested SAFE loans, have indicated to foresee involving and supporting Ukraine. Even if no precise volumes are indicated at this moment, we expect SAFE to be crucial in this regard.
It is also important to remind, that SAFE is also the most open defence programme we have conceived so far. Loans only for Member States to take, but SAFE is also open to EEA-EFTA states, to Ukraine, to acceding/candidate countries and to any third country that has entered a Security and Defence Partnership with the European Union. Bilateral agreements with Great Britain and Canada on their participation in SAFE Programme will be negotiated very soon.
With SAFE we can unify our fragmented defence procurement. And improve interoperability of military systems. By encouraging joint procurement in priority areas. Like air/missile defence, ground combat, space, strategic capabilities, Cyber and Space capabilities.
What is important is not only the technical content of SAFE.
No less important is the strong political signal we are sending today.
Since the start of my mandate, along with President von der Leyen, we have urged a 'Big Bang' approach to build our defence readiness.
We have no time for the luxury of incrementalism.
What we have achieved with 'SAFE' is really big.
When I visited Washington D.C. before summer, one well known expert told me that right now, worldwide, SAFE is the biggest financial package to be invested into defence with such a speed.
When the money reaches industry in the form of government procurement - it will be a real bang in contracts and in production.
We are starting a real Big Bang in defence.
A Big Bang not only in terms of financial means.
But also, in the speed of implementation.
When in March we approved the White Paper on Defence Readiness, I said that now the most important thing is 'implementation, implementation, implementation'.
Today we prove we deliver on implementation.
From the SAFE proposal to the adoption of the regulation - 57 days.
From the SAFE proposal to the allocation today - 168 days. A record.
Facing all the threats, which we know very well, we have no time to wait. We have no time for standard legislative proposals and 18 months of luxury to debate.
As soon as we presented our proposal, Member States expressed their interest.
And we acted. Quickly, creatively, efficiently. It would be good to continue on all other issues related with defence: EDIP, Defence simplification Omnibus, etc.
The result: a resounding success. 19 Member States have shown interest.
Together they requested loans well over the 150 billion euro available.
At this stage, we have distributed the allocations based on the amounts requested. Since maximum requested exceed the budget available, we identified a fair and equitable method to distribute assistance.
And even countries that did not want to take out loans, said they wanted to support SAFE. By joining in common procurement.
As President von der Leyen has said, this is a European success.
Today we allocated the tentative loan amounts.
I immediately informed the Member States of the amounts we tentatively allocated to them.
Now we need to move quickly, from allocation, to production.
Amounts are not yet final.
Each Member State must now submit a formal request.
This must include an investment plan.
Deadline: 30th of November.
The Commission will analyse these plans.
And if the request fulfils the conditions laid down in the Regulation, we will move forward.
And prepare a proposal for a Council Implementing Decision.
For every participating Member State.
The goal: to sign loan agreements in the first quarter of next year.
Again, this is a European success story.
In just 2 months we prepared a Regulation, got it approved, and mobilised 150 billion euro, an incredible boost for our defence and our industry.
Today the Commission proves how we bring European added value to build the defence readiness of Member States.
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