Official EU budget reports and announcements

EU to Redirect €392 Billion to Defense Amid NATO Calls for Increased Spending

Nov 14, 2024, 06:59 AM

The European Union plans to redirect up to €392 billion from its budget to bolster defense and security in response to Russia's actions in Ukraine and Donald Trump's return to the White House. This policy shift will allow cohesion funds, originally aimed at reducing economic inequality between EU countries, to be used by member countries to support their defense industries and military mobility projects. The Financial Times reports that only 5% of the €392 billion fund has been used so far. This move comes as NATO calls for increased EU defense spending amid the Ukraine conflict. Brussels is changing its spending policies to potentially redirect tens of billions of euros to defense and security.