Croatia Secures a Loan of 1.7 Billion Euros from the SAFE Instrument
Ministers Anušić and Ćorić Sign the Loan Agreement Under the SAFE Instrument with the European Commissioner for Defence and Space, Andrius Kubilius
Deputy Prime Minister and Minister of Defence Ivan Anušić and Deputy Prime Minister and Minister of Finance Tomislav Ćorić signed a Loan Agreement today at Banski Dvori under the “Security Action for Europe” – SAFE instrument, alongside the European Commissioner for Defence and Space, Andrius Kubilius.
The signing was preceded by a meeting between Prime Minister Andrej Plenković and European Commissioner for Defence and Space, Andrius Kubilius. Under the loan agreement within the SAFE instrument, a loan up to a maximum amount of 1.7 billion euros is made available to the Republic of Croatia.
Minister Anušić expressed his satisfaction with the signing of this important Agreement.
In accordance with the Government Conclusion of 27 November 2025, the Republic of Croatia submitted its National Defence Investment Plan to the European Commission. This plan outlines five key procurement projects under the SAFE instrument, including Leopard 2A8 main battle tanks valued at 1.14 billion euros, Caesar 155 mm self-propelled howitzers worth 301.6 million euros, Tatra 6×6 and 8×8 heavy-duty trucks at 211.7 million euros, and ammunition and ordnance for the Croatian Armed Forces valued at 21.5 million euros.
The Ministry of Defence and the Ministry of Finance are responsible for the implementation of the Loan Agreement, while the funds for the loan repayment are secured within the State Budget of the Republic of Croatia under the budget positions of the Ministry of Finance.
“Security Action for Europe” – SAFE Instrument
The objective of the “Security Action for Europe” – SAFE instrument is to reinforce European defence capabilities, assist member states in eliminating critical gaps, and jointly procure defence products.
The SAFE instrument will provide up to 150 billion euros in favourable, long-term loans to member states. Eligible projects must be based on a joint procurement framework involving at least one SAFE-utilising member state alongside another member state, Ukraine, or EEA and EFTA countries.
These loans are financed through European Union borrowing on international capital markets and made available to member states under highly attractive conditions. The funds remain accessible until 31 December 2030, featuring a maturity period of up to 45 years and a 10-year grace period on principal repayment.
