Canada has officially joined the EU’s loans-for-weapons program | CBC News – International Dispatch

Defence Minister David McGuinty says Canada has now officially joined the European Union’s Security Action for Europe (SAFE) program, which offers loans to member states to invest in defence capabilities.

“The agreement strengthens our collective security, supports the development of key defence capabilities, and gives Canadian industry access to European defence markets while contributing to European and Ukrainian security,” McGuinty said in a statement sent to CBC News.

The official joining comes less than a year after Prime Minister Mark Carney signed a strategic defence and security partnership with the European Union, which included joining SAFE.

The SAFE program allows partner countries to access low-interest loans for the joint procurement of military gear and weapons. It also allows Canadian companies to bid on those joint projects.

The program was announced by the EU in March and is part of a European effort to rearm in the face of Russia’s ongoing war with Ukraine.

On Wednesday, the Council of the EU announced the first wave of financial assistance under SAFE, which can go to Belgium, Bulgaria, Cyprus, Denmark, Spain, Croatia, Portugal and Romania.

The second wave, which the Council said it expects to adopt on Tuesday, will open up financial assistance to Estonia, Greece, Italy, Latvia, Lithuania, Poland, Slovakia and Finland.