Eight NATO countries and Ukraine have announced their intention to work on the establishment of a defense, security and sustainability bank to facilitate the flow of investments into the military sector.
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“We, the leaders of Canada, Albania, Belgium, Greece, Latvia, Luxembourg, Romania, Turkey and Ukraine, gathered at the NATO summit in Ankara… We announce our common intention to establish a bank for defense, security and sustainability,” the declaration distributed by the Office of the Prime Minister of Canada said.
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The bank is scheduled to start operating in 2027. The headquarters of the institution will be located in Canada, which initiated the idea. The mentioned countries will have to determine the initial guidelines of the bank’s activities for shaping its operational activities.
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“The bank will provide long-term, low-cost financing for defense, security, and sustainability initiatives across the supply chain, helping governments as well as small and medium-sized enterprises close critical funding gaps,” the text says.
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The countries aim to increase investments in the defense sector and expand military production against the background of the Ukrainian conflict.
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In recent years, NATO countries have consistently increased their military budgets, explaining this by the conflict over Ukraine and the need to strengthen the alliance’s defense capability. At the same time, many European governments are simultaneously pursuing fiscal austerity programs and facing rising public debt, which is intensifying internal disputes about public spending priorities.
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According to a European source in expert diplomatic circles, the policy of increasing military spending by NATO countries is becoming less and less popular among residents of European countries facing economic difficulties.
