The Commission estimates that the EU needs to invest €500 billion in the sector over the coming decade so that it can continue to support Ukraine but also ensure it is in a position to defend itself following decades of under-investments.
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00:00The European Union is aiming to strengthen its defence capabilities, requiring an estimated
00:07investment of around 500 billion euros over the next decade.
00:12Defence spending has grown by 30 percent since 2021, but in the current geopolitical climate,
00:18the bloc believes this is not enough.
00:21On Monday, the EU27 met to explore new ideas, with the aim of incorporating some into a
00:27future European Commission document.
00:29When you ask what the leaders want in the white paper, certainly proposals for these
00:38three levels, how to create fiscal space, how to create common funds to common projects
00:46and finally how to mobilise private financing to strengthen our defence industry.
00:56Creating more fiscal space, or in other words, relaxing the economic rules that force countries
01:01not to take on too much debt, is one of the main ideas on the table.
01:06The key to this lies with the European Commission, which could allow countries to spend more
01:11on defence.
01:13For extraordinary times, it is possible to have extraordinary measures, also in the stability
01:19and growth pact, and I think we live in extraordinary times, so we will look as a commission deeper
01:25into using much more flexibilities, they are optional, possible with the stability and
01:30growth pact for defence investment and defence expenditures.
01:38At a time when relying on allies is crucial, the EU27 gathered at a summit alongside their
01:44partners, including UK Prime Minister Keir Starmer and NATO Secretary-General Mark Rutte.