Bulgaria’s Parliament ratifies agreements on 3.27B euro SAFE loan, 3D radars
Bulgaria’s National Assembly voted on July 30 to ratify two agreements related to the loan under the European Union’s Security Action For Europe (SAFE) instrument worth 3.27 billion euro.
SAFE is an EU instrument providing loans of up to 150 billion euro to help EU member states make rapid and significant increases in their defence investments.
The July 30 vote means that Parliament has approved the financial provision of the nine key projects for the development of the Bulgarian armed forces, included in the National Plan for Investment in the European defence Industry under the SAFE instrument.
All parliamentary groups voted in favour, with the exception of Parliament’s smallest group, opposition pro-Russian party Vuzrazhdane.
The decision allows for the granting of financial assistance to Bulgaria in the form of a loan of the maximum amount of 3 261 700 000 euro, as well as the provision of an advance from the European Commission of 15 per cent of the amount of the granted financial assistance: 489 255 000 euro.
The EC will provide the advance financing within a period not exceeding three months from the entry into force of the loan agreement, Bulgaria’s government said in an explanatory memorandum.
The projects will be implemented through joint acquisition of defence products with leading EU countries, including German and France, among others.
Bulgaria plans to jointly acquire 155mm artillery ammunition as a “lead country”, and for this purpose it is envisaged to conclude a contract with a joint venture between Rheinmetall and VMZ-Sopot.
The draft loan agreement sets out the period of availability of the funds (until the end of 2030) and the detailed terms and conditions for the support in the form of loans under the SAFE instrument.
The loan is granted for a maximum term of 45 years and includes a 10-year grace period for repayment of the principal, with the agreement specifying the amount of the pre-financing and the conditions for its deduction.
In a separate vote on July 30, the National Assembly ratified a project for the acquisition of seven new three-coordinate radars.
All parliamentary groups voted in favour, with the exception of Parliament’s smallest group, opposition pro-Russian party Vuzrazhdane.
he order is part of a framework agreement between the ministries of defence of Bulgaria and France through the Directorate General of Armaments (DGA). The contract for the acquisition of the new 3D radars was signed on June 12 2026 in Paris, France, and on June 22 2026 in Sofia.
The project ratified by parliament covers the acquisition of seven new three-coordinate radars, communication and cryptographic devices, and the integration of hardware and software products into the command and control system of the Air Force, according to an explanatory memorandum.
