Following a three-day marathon that secured 122 billion PLN in defense contracts, experts are questioning the efficiency of utilizing the remaining EU-backed SAFE program funds and the actual share of domestic industrial participation.
A Record-Breaking Procurement Marathon
In a span of just three days, the Polish government signed 50 defense contracts and 12 annexes totaling 122 billion PLN. This sum equals the entire volume of contracts awarded to the Polish defense industry between 2016 and 2023, highlighting an unprecedented pace driven by the looming May deadline for EU-funded projects.
Much of this activity involved refinancing existing contracts, shifting their funding from the national budget to EU loans. This move frees up domestic funds for other defense priorities not covered by the EU’s SAFE instrument. However, the exact breakdown of these agreements remains opaque due to limited official disclosure.
Uncertainty Over Remaining EU Funds
Poland successfully secured 43.7 billion EUR—roughly 180 billion PLN—under the SAFE program. With only 120 billion PLN committed so far, approximately 60 billion PLN remains to be allocated. Observers are questioning whether the government can finalize sufficient contracts in time, especially as key projects like the acquisition of Airbus A330 MRTT refueling tankers or Piorun anti-aircraft missiles remain pending.
The expert, Tomasz Dmitruk, notes that some planned procurements, such as the Polish-made Sajna radars, could not be signed because development and testing are not yet complete. Furthermore, the necessity to partner with other nations for joint purchases introduces significant complexity and delays in meeting the strict funding deadlines.
The Challenge of Domestic Industrial Participation
Government officials have declared that 90 percent of the SAFE funds should benefit Polish companies. However, this goal faces stiff competition from international suppliers. Several billion PLN have already been allocated to the Norwegian firm Kongsberg, and future joint procurements will likely involve foreign contractors, making the 90 percent target appear increasingly ambitious.
Despite these challenges, the infusion of EU capital is viewed as a vital lifeline. Without this financing, the rapid modernization of the Polish armed forces would face severe budgetary strain before the end of the decade, as the costs of maintaining a growing military and servicing existing debt continue to rise.