Polish Government Launches Security and Defence Fund — Nearly PLN 20 Billion from EU Recovery Funds for Civil Protection, Infrastructure and Cybersecurity.
The Council of Ministers has approved a bill to implement the Security and Defence Fund, a special financial instrument carved out of Poland’s National Recovery Plan (KPO). Poland is the first EU member state to allocate a portion of its EU recovery funds specifically toward domestic resilience and defence infrastructure.
The fund will total nearly PLN 20 billion, directed to local governments, strategic companies, emergency services and national security sectors.
“We are focusing on what genuinely increases the resilience of the state — civil protection, critical infrastructure, cybersecurity and support for the defence industry,” government officials emphasized.
How will the Fund operate?
The Fund will be implemented through two parallel mechanisms:
- A newly established special-purpose company — responsible for capital investments (including defence industry and advanced technology projects).
- Bank Gospodarstwa Krajowego (BGK) — which will issue financing instruments, including interest-free loans for local governments.
Strategic funding priorities will be set by a Steering Committee composed of government representatives. The Fund is explicitly designed as a strategic instrument, aligned with national resilience objectives and NATO defence policy.
What will the Fund finance?
The resources will be allocated across four priority areas:
- Civil protection and protective infrastructure — shelters, alert systems, emergency response centres.
- Dual-use infrastructure — roads, energy grids and rail networks capable of supporting military operations if needed.
- Cybersecurity and critical infrastructure protection.
- Modernisation and R&D support for the defence industry and other strategic sectors.
Over half of the Fund’s budget may flow directly to local governments, for initiatives such as:
- construction of shelters and secure water infrastructure,
- digital resilience programs for municipalities,
- specialist equipment for emergency and rescue services.
A long-term strategic tool beyond 2026
Unlike most mechanisms under the National Recovery Plan, the Security and Defence Fund will continue operating after the formal EU settlement deadline of 2026. This means it is intended to serve as a long-term strategic resilience instrument, extending beyond the short funding cycles typical of EU programmes.
