Toronto: Canada announced on Monday that it has agreed to participate in the European Union's Security Action for Europe (SAFE) initiative, which focuses on defense procurement. "As Canada's new government rebuilds, rearms, and reinvests in the Canadian Armed Forces, we are focused on providing the women and men in uniform with the equipment they need, when they need it," Canadian Prime Minister Mark Carney's office stated.

According to Anadolu Agency, Canada had previously signed a Security and Defense Partnership with the European Union earlier this year, leading to the initiation of negotiations for Canada's involvement in SAFE, a crucial component of the EU's Readiness 2030 plan. On Monday, Prime Minister Mark Carney announced the successful conclusion of these negotiations, which is expected to unlock billions of dollars in potential defense opportunities for Canadian businesses.

SAFE, adopted by EU leaders in May 2025, is designed to provide competitively priced, long-term loans to expedite urgent defense procurement needs. It is part of the European Commission's ReArm Europe Plan/Readiness 2030, which aims to generate over £800 billion ($928 billion) in defense spending across the EU. While the loans are restricted to EU member states, Ukraine, and countries in the European Economic Area (EEA) and European Free Trade Association (EFTA), they will also be eligible to participate in joint procurement under the initiative.

Prime Minister Carney emphasized in his statement that Canada's participation in SAFE will elevate the defense partnership with the EU amid global challenges. He noted that this collaboration would address key capability gaps, expand markets for Canadian suppliers, and attract European defense investments into Canada.