The European Court of Auditors warned that defense investments supported by debt may delay the reduction of public debts in the European Union and limit the budgetary margin of member states. The warning comes in the context of a growing expansion of European financing instruments in the Defense area.
The court emphasized that coordination between member states in the Defense area needs to be strengthened, as does the oversight of European funds destined for this sector. This need for greater supervision is related to the increasingly complex framework of European financing instruments available for Defense investments.
The European Court of Auditors' report identifies budgetary risks associated with the use of debt to support these investments, pointing to potentially negative consequences for fiscal sustainability in the medium term. The institution therefore recommends more rigorous and transparent management of resources destined for Defense.
