The Council of the European Union on Tuesday, February 17, 2026, formally adopted implementing decisions granting financial assistance under the Security Action for Europe (SAFE) instrument to a second batch of eight member states: Estonia, Greece, Italy, Latvia, Lithuania, Poland, Slovakia, and Finland. This approval unlocks access to approximately €74 billion in low-interest, long-term loans for joint defense procurement and investments in the European defense industrial base.
The decisions follow a positive assessment by the European Commission of the countries' national defense investment plans, submitted as part of the SAFE framework. The Commission had cleared the second wave of plans on January 26, 2026, after approving the first batch on January 15, 2026. With this step, 16 out of the 19 member states that expressed interest in SAFE funding have now received final Council endorsement, bringing the total committed funds to around €112 billion (combining the first wave's €38 billion with the second's €74 billion).
SAFE, adopted by the Council on May 27, 2025, as part of the broader Readiness 2030 defense package, is a multibillion-euro loan program designed to accelerate urgent and large-scale investments in defense capabilities. It provides competitively priced, long-maturity loans to EU member states for joint procurement of priority equipment, aiming to boost production capacity, close capability gaps, ensure timely availability of defense systems, and strengthen the European Defence Technological and Industrial Base (EDTIB).
Key features of SAFE include:
Up to €150 billion in total loans mobilized by the EU through capital market borrowing.
Focus on collaborative procurement to achieve economies of scale and interoperability.
Eligibility for member states, Ukraine, and European Economic Area countries (Norway, Liechtenstein, Iceland) to participate in joint purchases.
Emphasis on priority capabilities such as ammunition, missiles, air defense systems, cyber defense, and critical infrastructure protection.
The second wave allocations, as detailed in official Council documents, include significant amounts for frontline states:
Poland: €43.734 billion (with €6.56 billion in pre-financing).
Italy: €14.9 billion.
Lithuania: €6.375 billion (with €956 million pre-financing).
Latvia: €3.498 billion (with €525 million pre-financing).
Slovakia: €2.317 billion (with €348 million pre-financing).
Estonia: €2.344 billion (with €352 million pre-financing).
Greece: €788 million (with €118 million pre-financing).
Finland: €1 billion.
Poland's allocation stands out as the largest single request under the program, reflecting its strategic position and ongoing defense modernization efforts.
Following today's adoption, the European Commission will conclude bilateral loan agreements with the beneficiary states and proceed with disbursing pre-financing payments (up to 15% of requested amounts in many cases). First disbursements are expected to begin in March 2026, enabling rapid implementation of procurement projects.
In a parallel decision, the Council authorized the EU to sign a bilateral agreement with Canada on the participation of Canadian companies and products in SAFE-funded procurements. Canada becomes the first non-European country to join the instrument. The agreement, preliminarily endorsed by member states' representatives (Coreper) on December 19, 2025, allows provisional application upon signature. Full conclusion requires consent from the European Parliament. Canadian firms will gain access to opportunities under SAFE, contributing to enhanced transatlantic defense cooperation while supporting European security objectives.
SAFE's rollout comes amid heightened geopolitical tensions, including Russia's ongoing aggression against Ukraine, which has underscored the need for accelerated European defense readiness. The program incentivizes joint procurement to reduce fragmentation, increase industrial output, and foster innovation in the EU defense sector.
With three member states (Czechia, France, and Hungary) still awaiting Commission approval of their plans, the SAFE initiative continues to evolve as a cornerstone of the EU's defense strategy. Officials have described the rapid progress—from regulation adoption in May 2025 to first approvals in early 2026—as evidence that "the EU is not only talking about defence – we are delivering."
This second wave approval marks a major milestone in realizing the Readiness 2030 vision, positioning Europe to meet emerging security challenges through stronger, more integrated defense capabilities.
