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Bratislava – The purchase of weapons or vehicles for the army will be co-financed by a loan from the European Security Action Tool for Europe, strengthening the European defense industry (SAFE tool). The Ministry of Defense of the Slovak Republic plans to utilize the entire amount of the tool allocated for the defense of Slovakia. It could borrow more than 2.3 billion euros. This was reported by TASR.

In total, the SAFE tool will fully or partially finance nine investment projects. This follows from a document approved by the government of the Slovak Republic during a field meeting in Vyšný Orlík in the Svidník district on Wednesday.

The Minister of Defense Robert Kaliňák (Smer-SD) is to submit a request for the disbursement of funds and an investment plan to the European Commission by the end of November, according to the resolution approved by the government. The Minister of Finance Ladislav Kamenický (Smer-SD) is then expected to present a proposal for a framework loan agreement to the government by the end of June next year.

“Taking into account other flexible elements of the SAFE tool, such as the provision of advance payments and deferral of repayments, this tool represents a new attractive source of financing for Slovakia’s strategic priorities, which requires increased attention,” the Ministry of Defense stated in the document submitted to the government.

The Ministry of Defense plans nine investment projects worth over 5.2 billion euros

The ministry mentioned nine investment projects in the document. The most expensive of these is the purchase of heavy off-road trucks to ensure logistical support for the Armed Forces of the Slovak Republic. It is estimated that the vehicles will cost nearly 1.8 billion euros in total. Almost 1.6 billion euros will be financed through a loan from the SAFE tool. Thus, more than half of the total amount drawn would go towards the purchase of these vehicles.

In addition, the ministry also mentions the procurement of handheld weapons worth nearly 85.5 million euros and a counter-drone system for 1.5 million euros. These projects are planned to be fully financed from the loan. Overall, the ministry mentioned investments worth over 5.2 billion euros in the document.

Some projects were designated by the government as strategic investments “because they are projects that the Ministry of Defense of the Slovak Republic carries out in the public interest and the planned investment expenditures for the implementation of the investment project are at least 50 million euros.” (November 26)