Banks are ready to finance defense

Polish banks currently have funds to support defense sector financing, aided by a slowdown in investment loans. However, these funds are insufficient for all strategic projects. The European Investment Bank has shifted its stance, now supporting certain defense-related technologies, but still excludes direct weapons funding. Major banks like PKO BP, Citi Handlowy, Pekao, and ING are increasingly financing military and dual-use projects. Yet, banking sector capacity remains limited—analysts estimate banks could co-finance only a few strategic projects due to regulatory limits.

Experts call for expanded state-backed guarantees to reduce risk and enable more lending. Without this, some large-scale investments may require foreign financing. The Polish government is expected to consider new support mechanisms soon.

(pb.pl)