By Karol Badohal WARSAW (Reuters) - The European Investment Bank expects to at least double or triple the funding it provides for defence projects in 2025, its vice president said on Thursday, as the
European Investment Bank Plans Significant Increase in Defence Funding by 2025
By Karol Badohal
WARSAW (Reuters) - The European Investment Bank expects to at least double or triple the funding it provides for defence projects in 2025, its vice president said on Thursday, as the EU races to boost security spending by at least 800 billion euros over four years.
U.S. President Donald Trump's upending of old certainties on Washington's commitment to European security has left EU states scrambling to find the cash to strengthen their armies in the face of what they say is an increased threat from Russia.
Earlier this month, the EIB, the bank of EU governments, said it would lift existing limits on financing for defence projects and broaden the scope of what is eligible, though a ban on financing weapons and ammunition would remain.
"This year, because we have introduced a new horizontal security and defence policy by decision of the board, we are not setting limits on the amount, which means we are responsive as to how many of these projects will come up," Teresa Czerwinska said during a press conference in Warsaw.
"We are ready to increase this financing at any time. I am counting on at least doubling or tripling it in the current year."
Czerwinska said the bank provided 1 billion euros ($1.08 billion) in financing to defence and security-related projects in 2024.
"As of today, in terms of security and defence... we already have 14 investment projects that we are considering," she said.
"Recently we have been preparing funding for a project, that is barracks or buildings to accommodate soldiers in Lithuania."
She added that the project regarded "hard infrastructure" for the relocation of military contingents in Lithuania's border areas, but declined to give more details.
"Speaking about security and defence, of course it is important for all member states of the European Union, but we realise that it is important primarily for border countries, that is the so-called eastern flank," she said.
($1 = 0.9229 euros)
(Reporting by Karol Badohal, Editing by Alan Charlish and Andrew Heavens)
