USA Approves $4 Billion Military Loan for Poland

The United States has signed a $4 billion loan agreement with Poland under the Foreign Military Financing (FMF) program for the purchase of American weapons.

Poland’s Deputy Prime Minister and Minister of National Defence, Władysław Kosiniak-Kamysz, announced the signing of the agreement.

News of the agreement’s preparation first emerged in June 2026. Under the agreement, Poland received a loan guarantee from the U.S. government, which will enable the Polish state-owned bank BGK to raise funds for the Polish Armed Forces Support Fund (FWSZ).

The funds raised will be used to co-finance contracts already concluded and to finance new agreements for the procurement of U.S. defense equipment.

The funds will likely be used, in particular, to expedite the delivery of Apache helicopters and to order additional F-35s.

“The allocation of $4 billion to Poland under the Foreign Military Financing (FMF) program is another important step in the modernization of the Polish Armed Forces. The agreement signed today strengthens the strategic partnership between Poland and the United States, accelerates the implementation of previously concluded contracts (in particular, regarding Apache helicopters), and enhances Poland’s defense capabilities,” said Władysław Kosiniak-Kamysz

In total, since the beginning of 2022, Poland has concluded six FMF agreements with the United States totaling $19.08 billion. The first direct loan of $2 billion was finalized on September 25, 2023, the second for the same amount on July 1, 2024, and the third for $3.08 billion on October 1, 2024. Subsequently, the United States provided three loan guarantees of $4 billion each: on December 5, 2024 and on July 25, 2025.

Polish Armed Forces Support Fund

The FWSZ is a special government instrument created for the rapid and large-scale modernization of the Polish army. The fund’s total annual budget for 2026 is planned at 77.2 billion zlotys ($19.9 billion).

The main feature of the fund is that it is financed primarily through loans and bond issuances. This creates Poland’s so-called ‘off-budget debt,’ as these expenditures are not included in the country’s official state budget.

As of September 2026, the fund had accumulated significant debt, which is growing rapidly due to constant borrowing. The fund’s actual debt already stands at 118.9 billion zlotys (approximately $30.6 billion), and by the end of 2026, this amount could reach 157.5 billion zlotys ($40.6 billion).

Overall, the fund’s total debt is expected to exceed 300 billion zlotys (about $77.3 billion) by 2029.

Despite the enormous amount of funds, the Fund is also known for regularly failing to meet its spending targets. For example, in the first half of 2026, the fund spent only about 14 percent of the amount planned for the year. And in 2025, the FWSZ was able to use about 79 percent of the planned funds.