Four NATO countries will establish a joint defense funding mechanism

The United Kingdom, the Netherlands, Finland, and Poland will establish a new Multilateral Defense Financing Mechanism (MDM). 

The initiative aims to strengthen defense capabilities, improve the cost-effectiveness of allied spending, and modernize NATO’s collective defense in light of the changed security situation and the consequences of Russia’s war against Ukraine, according to a joint statement by the countries dated July 6.

The new instrument provides for increased investment, the development of joint procurement, and the creation of stable demand for critically important military technologies, which will allow for the effective coordination of spending and enhanced operational interoperability within the Alliance. The participants have already made progress in developing technical specifications and will move on to negotiations in the coming months to conclude an international treaty under an expedited procedure. The plan is to implement the new system by 2027, and the founding members intend to expand the circle of participants and align the MDM with other NATO defense projects, according to “European Truth.”

NATO Secretary General Mark Rutte stated that NATO member states have reached the target of spending 4% of GDP on defense annually. 

At the upcoming NATO summit, the allies plan to reaffirm their long-term support for Ukraine. NATO Secretary General Mark Rutte stated that assistance must be stable, predictable, and designed for the long term.

The official program for the NATO summit in Turkey has been released

Ukraine has called on NATO to officially recognize it as asecurity contributor.