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New U.S.-Poland Foreign Military Financing Direct Loan Agreement Showcases Strong Security Partnership [ https://www.state.gov/new-u-s-poland-foreign-military-financing-direct-loan-agreement-showcases-strong-security-partnership/ ] 09/25/2023 10:06 AM EDT
Office of the Spokesperson
Today, the United States is proud to announce the signing of a milestone $2 billion Foreign Military Financing (FMF) direct loan agreement to support Poland’s defense modernization.
Poland is a stalwart U.S. Ally, and Poland’s security is vital to the collective defense of NATO’s Eastern Flank.? In addition to its central support role in facilitating international assistance to neighboring Ukraine, Poland has demonstrated its ironclad commitment to strengthening regional security through its robust investments in defense spending.  Poland continues to demonstrate leadership in NATO on meeting the 2014 Wales Summit Defense Investment Pledge. Poland plans to significantly expand the Polish Armed Forces; has divested its legacy Russian origin military equipment in favor of an ambitious multi-year, multi-billion-dollar defense modernization program; has concluded an Enhanced Defense Cooperation Agreement (EDCA) with the United States; hosts Allied and U.S. forces, including the U.S.-led NATO Battlegroup and U.S. V Corps Headquarters (Forward); and actively participates in NATO missions across the region.
The U.S. government is providing up to $60 million in FMF for the cost of this loan, which will help accelerate Poland’s defense modernization by supporting urgent procurements of defense articles and services from the United States.
FMF direct loans are a security cooperation tool reserved for some of our most important security cooperation partners.? Loan proceeds will further advance Poland’s military modernization effort across a wide range of capabilities, substantially contributing to strengthening the defense and deterrence of NATO’s Eastern Flank.
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