The EU can issue bonds to finance defense needs, as Russia threatens the bloc’s security, said the head of EU diplomacy, Josep Borrell. Debates have recently begun on the prospect of the EU assuming debt to cope with the significant effort needed to invest in its defensive capabilities.
According to him, the war against Ukraine increased the urgency of expanding the European military industry’s production capacity. Borrell believes that the EU needs to move from a state of emergency to a long-term vision to restock and develop the defense capabilities required for a future that includes a more contested geopolitical environment while still providing adequate military support to Ukraine.
He added: “If the member states agree, we could use the profits from the frozen assets of the Russian Federation to purchase weapons for Ukraine or strengthen its defense industry.”
According to him, using these resources to support the Ukrainian military through the European Peace Fund would be possible.