Poland is considering the possibility of approaching the European Union with a request for exceptional borrowing in order to finance high defense expenditures
The Polish government is actively analyzing the option to submit an application to the European Commission for an exceptional permit to increase public borrowing within the EU. This decision is driven by the desire to preserve and even strengthen the country's defense funding levels, especially amid rising geopolitical tensions and the need to modernize the military forces. This information was reported by the news agency "European Pravda," citing words of Poland’s Minister of Finance, Andrzej Duda, as relayed by the international agency Reuters. According to Duda, next week the Polish authorities intend to officially request the European Commission’s approval to allow the country to exceed its current borrowing limits. The goal is to create conditions for increasing military spending within existing rules, enabling Poland to maximize its financial resources to bolster its defense capabilities. Under provisions proposed by the European Commission in March this year, EU member states would be permitted to temporarily increase their defense expenditures by 1.5% of GDP over the next four years. This would allow countries to spend additional funds without automatic sanctions or restrictions, even if such spending surpasses the standard 3% GDP deficit limit. The initiative aims to enhance European states’ ability to address contemporary challenges and threats while maintaining fiscal and budgetary balance. Duda emphasized that Poland is considering this possibility seriously and will make a final decision by the end of the month. This means that in the coming days, Polish government institutions might officially confirm their intention to submit the relevant application. In addition to Poland, Portugal and several other countries have expressed interest in such a request; however, the positions of Italy, France, and Spain remain cautious. This indicates that discussions on increasing defense budgets within the EU are ongoing and require consideration of the political and economic interests of all member states. Amid these developments, it is worth recalling that the recent EU Defense Summit discussed not only boosting the continent’s military potential but also attracting additional funds to support Ukraine. Specifically, there are plans to reallocate part of the approximately €150 billion allocated for “European rearmament” towards enhancing defense capabilities and simultaneously supporting Ukrainian resistance. It is expected that the decision to exceptionally mobilize financial resources for defense could promote the development of a more active and self-sufficient defense policy in Europe and strengthen the capacity for rapid response to modern military challenges. Undoubtedly, this will be another step toward forming a more independent and capable defense community, capable of maintaining stability and security in the region.