Bulgaria’s government approves agreements on 3.2 billion euro SAFE loan to boost defence capabilities
At a regular meeting on June 24, Bulgaria’s Cabinet approved two projects under the Security Action for Europe (SAFE) instrument, to boost the country’s defence capabilities, the government information service said.
The two projects are a loan agreement between the European Union and Bulgaria in the amount of 3.26 billion euro and an operational agreement between the European Commission and Bulgaria.
The government information service said that the loan will be at favourable interest rates, with a grace period of up to 10 years on the principal and a repayment period of up to 45 years.
The government’s decision allows for the signing of the agreements with the European Commission subject to subsequent ratification by the National Assembly and the launch of the implementation of nine key projects included in the National Plan for the Development of the Armed Forces, subject to financing under SAFE, the statement said.
The projects are part of the Defence Investment Programme up to 2032.
“This will help build and develop the defence capabilities necessary to ensure national and alliance security in the context of our country’s participation in the Nato collective defence system and the EU Common Security and Defence Policy (CSDP), the government information service.
The funds necessary for the implementation of projects under the SAFE instrument are provided for in the budget of the Ministry of Defence within the defence spending for the respective year, it said.
(Photo: Clive Leviev-Sawyer)
