Poland’s Defense Minister indicated the government intends to sign the SAFE agreement on May 8th, overcoming a presidential veto that initially hindered funding access.
Kosiniak-Kamysz Announces Signing Date
Defense Minister Władysław Kosiniak-Kamysz stated that if all proceeds as planned, the Council of Ministers aims to sign the SAFE agreement on Friday, May 8th. He acknowledged the presidential veto complicated securing funds but affirmed the government successfully navigated the process.
Investment in Polish Defense Industry
Kosiniak-Kamysz emphasized May will see numerous contracts awarded to the Polish defense industry to facilitate army transformation. He highlighted a commitment to prioritizing investments in Polish defense companies like Huta Stalowa Wola and Mesko in Skarżysko-Kamienna, while procuring equipment not produced domestically from allies.
Government Plenipotentiary Details Signatories
Government Plenipotentiary for SAFE, Magdalena Sobkowiak-Czarnecka, announced the agreement will be signed by four representatives from the Polish side: Deputy Prime Minister and Minister of National Defence Władysław Kosiniak-Kamysz, Minister of Finance Andrzej Domański, and two representatives from the Bank Gospodarstwa Krajowego.
From the European Commission, the signatures will come from Commissioner for Defence Industry Andrius Kubilius and Commissioner for Budget Piotr Serafin.
SAFE Program Rules and Timeline
Under EU regulations, member states can independently order defense equipment through SAFE until the end of May. After this deadline, they will need to seek partner countries for each purchase, making the timeframe crucial for Poland’s planned acquisitions from its domestic industry.
EU SAFE Program Funding for Poland
The EU’s SAFE program allocates €150 billion in support, including low-interest loans, primarily for military equipment purchases, especially those manufactured in Europe. Poland has been allocated a total of €43.7 billion.
These funds are intended to finance defense projects outlined in Poland’s investment plan, including the “Eastern Shield” program, drone defense systems, anti-aircraft defense, artillery, and modernization of military transport infrastructure. The government has declared 89% of the funds will go to Polish industry and the economy.
Presidential Veto and Government Response
In mid-March, President Karol Nawrocki vetoed the law implementing SAFE, which would have established a special fund for EU funds. In response, the government adopted a resolution regarding the Polish Armament Program, authorizing the Minister of National Defence, the Minister of Finance, and the Minister of Economy to sign the agreement and related documents on behalf of the government.
The Bank Gospodarstwa Krajowego will take out the loan for the Armed Forces Support Fund (FWSZ), with repayment coming from funds not included in the minimum defense spending limit.
