This decision is intended to ensure the EPF financial sustainability and predictability in the longer term, and preserve its global geographical scope and the EU’s ability to prevent and swiftly respond to crises and conflicts.
“Today’s decision will again ensure that we have the funding to continue delivering concrete military support to our partners’ armed forces. This is already the second increase of the European Peace Facility funding since its creation in 2021. In less than two years, the Facility has proven its worth. It has completely changed the way we support our partners on defence. It makes the EU and its partners stronger,” said Josep Borrell, EU High Representative for Foreign Affairs and Security Policy.
This decision sends a clear political signal of the EU’s enduring commitment to military support for Ukraine and other partners alike.
The European Peace Facility was established in March 2021 to finance all common foreign and security policy (CFSP) actions relating to military and defence matters, with the aim of preventing conflict, preserving peace and strengthening international security and stability. In particular, the European Peace Facility allows the EU to finance actions designed to strengthen the capacities of non-EU countries and regional and international organisations in relation to military and defence matters.
The EPF is an off-budget instrument. It started with an overall financial ceiling of €5.5 billion (in current prices) for the period 2021-2027, which was increased with a first top-up of €2 billion to almost €8 billion (in current prices) on 13 March 2023. Contributions by member states are determined based on a gross national income (GNI) distribution key.
As a result, 92% of the overall financial ceiling for 2021-2027 has already been committed in 2023, which made a further increase necessary.