The Odysseus Defense Partners (ODP) team travelled to Brussels for the EDF Info Days 2026, organised by the European Commission on 10–11 March.
This event, dedicated to R&D funding for defence companies and dual-use technological innovation, gave ODP the opportunity to meet European Commission officials, industry players, and private investors who came to identify European hidden champions and/or co-invest alongside public funding.
Key Takeaways
- 4 to 8% of the total EDF budget is dedicated to disruptive defence technologies,
- 40% of European Defence Fund (EDF) beneficiaries are SMEs, receiving approximately 20% of the total committed budget (in 2026, the total EDF budget stands at €1 billion),
- Ukraine is officially associated with the EDF (pending signature of the agreement in the coming months):
- dedicated calls for proposals have been set up, allowing Ukrainian defence companies to apply as part of a consortium with partners from two EU Member States;
- an accelerated funding timeline (3 months instead of 18 months) has been introduced via the Brave Tech EU Initiative,
- Strong presence of Ukrainian companies seeking to develop civilian applications of their military equipment in Europe, ideally through industrial partnerships. It is worth noting that their approach is the reverse of ours — they move from military to civilian, while we go from civilian to military,
- Several Ukrainian companies mentioned plans to open factories in Central Europe, where the workforce is skilled and cost-effective, with a view to capturing the European market,
- Closer cooperation with the Ukrainian defence industry will allow European companies to benefit from frontline operational feedback that Ukrainian firms can share, and to test equipment in Ukraine.
The Main EU Financial Instruments for the Defence Industry
| Instrument | EDF (European Defence Fund) | EDIP (European Defence Investment Programme) | SAFE (Security Action for Europe) |
|---|---|---|---|
| Established | 2017 | 2024–2025 | 2025 |
| Type | Grant | Grant | Guaranteed loan |
| Budget | €8 billion (2021–2027) | €1.5 billion (2025–2027) | €150 billion (2025–2035) |
| Objective | Research & Development | Production & Procurement | Equipment acquisition |
| Beneficiaries | Companies | States and companies | States and companies |
In Detail
European Defence Fund (EDF)
- Purpose: Support defence R&D and technological innovation
- Access requirements: Cooperation between at least 3 companies from 3 Member States or associated countries
- Scope: 27 EU Member States + Iceland, Liechtenstein, Norway, Switzerland (+ Ukraine since Nov. 2025)
European Defence Investment Programme (EDIP)
- Purpose: Finance production and pooled public procurement
- Critical threshold: 65% of components must originate from the EU or associated countries
- Key feature: The Commission can act as a "central purchasing body" for Member States
Security Action for Europe (SAFE)
- Purpose: Guaranteed loans to finance national rearmament
- Mechanism: Loans backed by the EU budget's borrowing capacity (no direct budget allocation)
- Repayment: 45 years (2035–2080) with a 10-year grace period
EDFEuropean Defence FundEDIPSAFEUkraineSMEsBrussels
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