Portugal to Spend $145 Million on Ukrainian-Made Defense Products
Portugal will allocate 25 million euros ($29 million) annually over the next five years to purchase Ukrainian defense products, Ukrainian Defense Minister Denys Shmyhal announced after meeting his Portuguese counterpart, Nuno Melo, in Kyiv.
The procurement will be financed through the SAFE (Security Action for Europe) program, which offers EU member states loans at a 1-percent interest rate with repayment periods of up to 40 years for both new and existing defense projects.
“We discussed the continuation of cooperation, particularly in the defense industry, the prospects for mutually beneficial projects, and the long-term development of our capabilities,” Shmyhal said in a post on X.
“We also focused on Ukraine’s critical defense needs to protect our people and critical infrastructure.”
He also thanked Portugal for announcing 50 million euros ($59 million) in assistance through the PURL (Prioritized Ukraine Requirements List) mechanism, which allows allies to fund the procurement of crucial US-made military equipment directly from US stocks for Ukraine.
Investment in Ukrainian Defense
In 2024, the Ukrainian defense industry received more than $1.5 billion from partner countries for the production of weapons for the Ukrainian Armed Forces under the Manufacturing Freedom project.
Nine countries participated in the initiative — Denmark, Canada, the Netherlands, Lithuania, the UK, Sweden, Norway, Iceland, and the US — along with the EU.
The states allocated funds from either their own budgets or interest on frozen Russian assets.
Additionally, more than $500 million has already been spent on arms contracting through the “Danish model,” under which Denmark and its allies directly fund Ukrainian defense companies to produce weapons and equipment locally, bolstering Ukraine’s defense industry.
