The Committee of Permanent Representatives in the European Union approved an additional €3,5 billion for the European Peace Facility.

Swedish Presidency of the Council of the EU announced this.

This Fund, in particular, finances the purchase of weapons for Ukraine.

“Today, the EU Ambassadors approved an additional €3,5 billion (2018 prices) to the European Peace Facility. This decision reaffirms the EU’s commitment to supporting its partners in the field of security and defense,” the statement reads.

On March 14, the Council of the EU increased the financial cap for the European Peace Fund, from which funds are allocated to purchase weapons for Ukraine.

This regards €7.979 billion until 2027, which should ensure coverage of additional financial needs.

On May 23, the European Union countries discussed increasing the financing of the European Peace Fund by €3.5 billion, which applies not only to Ukraine, but failed to reach a final agreement on this issue.

The European Peace Fund

The European Peace Fund (EPF) was established in March 2021 to finance all Common Foreign and Security Policy (CFSP) in the military and defense fields. It aims to prevent conflicts, build peace, and strengthen international security and stability.

In particular, the European Peace Fund allows the EU to finance actions aimed at strengthening the potential of non-EU countries, as well as regional and international organizations in military and defense fields.

The EPF is an extra-budgetary instrument, and its financial cap for 2021-2027 is €5 billion (in 2018 prices). There are annual caps that range between €420 million in 2021 and €1.132 billion in 2027. Contributions of member countries are determined based on the principle of gross national income (GNI) distribution.

Due to the European Peace Fund, the EU supports the Armed Forces of Ukraine through six consecutive aid packages, along with many other countries, such as Mozambique, Georgia, the Republic of Moldova, the Republic of Mali, Somalia, Niger, Bosnia and Herzegovina, Lebanon, and Mauritania, as well as military components of operations with African-led peace support and multinational units such as the Balkan Medical Task Force. 86% of the total funding cap for 2021-2027 has already been allocated in 2022. This necessitated its initial increase.

As previously reported, the European Commission will provide additional funding to arms manufacturers for the production of ammunition.