The government is expected to take up, on Wednesday, a draft bill establishing the SAFE Financial Instrument for Enhanced Security (FIZB) — a dedicated, ring-fenced financing vehicle to be managed by Bank Gospodarstwa Krajowego (BGK). The institutional, financial and procedural framework set out in the bill is necessary for Poland to sign a loan agreement with the European Commission, which is planned for March 2026. Loans under the SAFE programme are intended to support Poland’s defence industry and strengthen border security.
“SAFE is a new instrument for financing the development of defence capabilities, the EU’s strategic independence and the building of its defence potential, but also economic security and competitiveness in the defence sector. The discussion on this instrument was launched and concluded during the Polish Presidency of the Council of the EU, which is why I indicated it as an element of the European Commission’s fast-track action in this area,” Prof. Marta Postuła, First Vice President of BGK, told Newseria.
On 28 November 2025, Poland submitted to the European Commission an application for financial assistance in the form of a loan under the SAFE programme. The request included an investment plan worth just over €43.7 billion. It was approved by the Commission at the end of January. The funds are to be allocated, among other things, to modernising the armed forces and developing the defence industry, as well as reinforcing protection of Poland’s border. Nearly 30 out of more than 100 projects relate to the “Eastern Shield” and the eastern border. After receiving the Commission’s positive decision, the Prime Minister announced that 80% of SAFE funds are to go to Polish companies — a move intended to boost the domestic economy.
A loan agreement with the European Commission is scheduled to be signed in March 2026, and the government wants the SAFE Financial Instrument for Enhanced Security Act (FIZB) to enter into force before then.
“Under the draft, BGK is the operator of this fund, meaning these resources will be placed with us,” Prof. Postuła emphasised.
As stated in the bill, the choice of BGK as the institution responsible for servicing FIZB stems from its status as a state development bank, its experience in managing funds and repayable instruments, and its cooperation with EU institutions. BGK will be the borrower, while the minister responsible for public finance will act as guarantor. Access to FIZB resources will be granted to ministers from several ministries whose projects have been included in, and approved by, the Commission as part of the investment plan for Europe’s defence industry.
The act precisely defines how FIZB funds may be used — including financing and co-financing tasks, servicing and repaying the SAFE loan, and meeting obligations arising from the State Treasury guarantee.
“We will work with the Ministry of National Defence, the Ministry of Infrastructure and the Ministry of the Interior and Administration — on their instruction. This is an instrument to finance procurement, but we will try — and BGK is already doing this today — to wrap it in a broader set of tools supporting the defence sector. Work on this is being carried out in parallel with the Ministry of Finance,” said the First Vice President of BGK.
Under the assumptions of the SAFE programme, loans will be granted for joint procurement involving at least two EU member states, as well as Ukraine or EFTA/EEA countries.
“From the second half of this year, purchases are to be made jointly. What does that mean? That if we have a strong industry and we are able to apply economic diplomacy properly — and this is happening now — we will also sell to other countries and regain the position of our industry,” Prof. Postuła noted. “Today, on the one hand, we have purchases made by the Minister of National Defence, and we already see growth in the defence sector. We also have a new Security and Defence Fund as well as SAFE. This completes the entire toolkit. This process should be viewed as a whole — not only SAFE in isolation from other actions undertaken by the Polish government. We hope it will work and become a strong engine of growth.”
Alongside SAFE, Poland is also rolling out the Security and Defence Fund (FBiO), separated within the National Recovery Plan (KPO). Its budget exceeds PLN 22 billion and will be earmarked for security- and defence-related purposes. At the end of January 2026, the FBiO Steering Committee — which includes, among others, the Minister of Funds and Regional Policy and the Minister of National Defence — adopted investment priorities. These include: the development of collective protection facilities and civil protection infrastructure (PLN 9.6 billion), construction and modernisation of dual-use infrastructure (over PLN 6.2 billion), investments in cybersecurity (PLN 2.5 billion), and support for modern industry (around PLN 4 billion). The beneficiaries will include defence-related technology companies and local governments.
This instrument, too, will be serviced by BGK. Beneficiaries will be able to obtain support in the form of loans and equity investments, to be provided by a dedicated company established by BGK.
