EU and Ukraine sign agreement to expand defence production

Ukraine's Ministry of Defence, the European Commission, as well as France and Finland have signed agreements aimed at expanding industrial capacity in dual-use technologies and the defence sector, as stated in a press release on the official website of Ukraine's Ministry of Defence.

According to Report, the agreements provide €343 million in EU guarantees and blended grant financing.

The new instruments are expected to mobilize more than €700 million in investments for the production of drones and anti-drone systems, ground robotic complexes, aviation technologies, advanced navigation and communication systems, and other strategic sectors.

Funding will be provided under the second component of the Ukraine Facility programme, which includes an Investment Framework for Ukraine designed to attract public and private investment. Its budget totals €9.5 billion, including €7.8 billion in guarantees and €1.7 billion in blended grants.