European Countries To Borrow Money From EU To Arm Ukraine Or Something

No, really

European countries to borrow billions from EU to rearm Ukraine

Ukraine’s top allies in Europe are set to ask for tens of billions of euros in European Union loans to jointly buy weapons for the war-battered country, as well as to boost their own defenses.

I love that “as well”. Considering European nations pissed away their arms and money to arm Ukraine and the conflict is still going on. I still wonder if it is a conspiracy theory that the whole think is a ploy to bleed European nation.

Ahead of Tuesday’s deadline to apply for the new €150 billion Security Assistance Facility for Europe loans-for-weapons scheme, several EU countries told POLITICO they are considering using that money to help Ukraine defend itself against Russia’s full-scale invasion.

The loan scheme was proposed by the Commission in March as part of its broader ReArm Europe program and aims to boost Europe’s defense industry and reduce the bloc’s decades-old military dependence on the United States.

Belgium, Bulgaria, Cyprus, Czech Republic, Estonia, Spain, Finland, Hungary, and Lithuania have formally expressed an interest in requesting the loans, the EU’s defense spokesperson Thomas Regnier told reporters on Tuesday.

Others including Czech Republic, Latvia, Bulgaria and Greece indicated they will do so before the deadline on Tuesday at midnight.

By jointly buying weapons through the scheme, countries can secure a lower price than they would obtain by going it alone and then deliver the armaments to Ukraine.

So, where is the European Union getting this money? Are they not the central government of European nations? Does their operating money not come from European countries to start with? Is the EU borrowing the money from banks in Europe? It sounds more like a scam to enrich some people

Countries are also exploring directly buying weapons from Ukrainian companies, which is encouraged under SAFE. This would allow Kyiv to “increase the scale of defense production and technological integration with the EU,” a Ukrainian diplomat told POLITICO.

Wait. Why are these Ukrainian companies not doing their duty and sending all their arms to Ukraine?

Countries with high debts and deficits, like Austria and Italy, are more reluctant to take the loans over worries of adding to their existing debt, as that might delay their exit from the EU’s punitive procedure for over-spenders, officials told POLITICO.

France, a long-time supporter of more EU defense spending, is likely to take up the loans despite its domestic budget constraints. Belgium, which is also saddled with a high debt, will demand from €7 billion to €11 billion under the scheme, according to an official with knowledge of the matter.

Taking out loans sounds like a bad idea. How about the EU simply fund the procurement of the weapons in the name of all European nations?

Meanwhile

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