European Union approves €150bn 'SAFE' fund to bolster Europe's defense
The European Union has approved a €150 billion fund, named the Security Action for Europe (SAFE), to enhance its collective defence capabilities amid rising concerns over Russian aggression and doubts about U.S. security commitments. Backed by 26 of 27 member states, SAFE will provide loans for joint defence projects through EU-level borrowing, aiming to strengthen the European defence industry and reduce reliance on external powers. The initiative, fast-tracked by bypassing the European Parliament, reflects a growing urgency among EU leaders to invest in regional security following Russia’s invasion of Ukraine. While Russia denounces the move as provocative, EU officials insist the fund is essential for deterrence and unity in the face of external threats, with potential participation from UK firms under a new defence partnership.