EU’s defence fund receives preliminary approval

The fund comes in addition to new rules that allow member states fiscal flexibility for spending on defence, which could mobilise a combined €800bil. — Bloomberg

Brussels: The European Union’s (EU) 27 member states have given initial approval to a €150bil or about US$168.4bil defence fund that will distribute money to countries looking to invest in security capabilities such as ammunition, drones and the protection of critical infrastructure, according to people familiar with the matter.

The fund is expected to receive formal approval next week, said one of the people, who spoke on the condition of anonymity.