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Cyprus takes receipt of first Safe programme payment

Cyprus Mail · 2026-06-18

AI SUMMARY

• What happened: Cyprus received its first payment of €177.2 million under the EU's Security Action for Europe (Safe) defence procurement programme, representing 15% of its total allocation of nearly €1.2 billion. • Why it matters: This funding will enable Cyprus to advance key defence investments, enhance military capabilities, and strengthen collective security within the EU, reflecting Europe's commitment to a more robust defence framework. • What to watch next: Monitor Cyprus's progress in utilizing these funds for military hardware acquisitions and the implementation of its long-term defence strategy, as well as developments in the broader EU defence cooperation initiatives.

**Cyprus Receives First Payment Under EU's Safe Defence Programme**

Cyprus has officially received its first payment under the European Union’s Security Action for Europe (Safe) defence procurement programme, amounting to €177.2 million. This disbursement represents 15 percent of the island's total allocation, which is just under €1.2 billion. The European Commission has stated that these funds will facilitate Cyprus in advancing crucial defence investments, enhancing resilience, and upgrading military capabilities in alignment with common European objectives.

European Defence Commissioner Andrius Kubilius emphasized the significance of this financial support, stating that it reflects Europe’s commitment to strengthening collective security and defence. "Today’s pre-financing for Cyprus under Safe shows Europe’s commitment to strengthening our common security and defence,” Kubilius remarked. He added that the funding will accelerate Cyprus’s investments in essential military capabilities while contributing to a more robust and interconnected European defence industry. “Safe is about solidarity, readiness, and ensuring that member states can deliver for Europe’s security together,” he noted.

The disbursement follows a loan agreement signed earlier this month between the Cypriot government and the European Commission. Cyprus is the sixth EU member state to finalize such an agreement, joining Poland, Lithuania, Croatia, Romania, and Belgium, all of which signed their agreements last month. Poland, the largest beneficiary of the Safe programme, received over €6.5 billion at the end of the previous month, out of a total allocation of nearly €44 billion.

Defence Minister Vasilis Palmas highlighted the importance of the funding, stating that it will enable the National Guard to acquire military hardware to meet its priorities through 2030. He noted that the Safe programme was initiated at a critical time when the EU faces significant challenges in addressing defence shortcomings. Palmas remarked on the urgency of mobilizing equipment and joint procurement programmes, stating that the €150 billion earmarked for the joint procurement of high-tech weapons systems is expected to usher in a new era for European defence, with goals of autonomy, technological superiority, and resilience.

Cyprus’ investment plan under the Safe programme received approval from the Council of the EU in February. President Nikos Christodoulides described the programme as an important financial tool for the nation. He expressed pride in Cyprus being among the first member states to have its funding approved, indicating the effective work carried out by the Cypriot authorities.

As Cyprus embarks on this new chapter in its defence strategy, the Safe programme is poised to play a crucial role in enhancing the island's military capabilities and contributing to broader European security initiatives. The funding is expected to support not only immediate defence needs but also long-term strategic goals within the framework of EU cooperation in security and defence matters.

Source: Cyprus Mail
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