The European Investment Bank reached a major milestone in 2025. The Luxembourg-based institution increased its defense financing to €4 billion, four times more than in 2024. France benefited from €670 million of these loans, according to figures released Tuesday by the EIB. This sector, almost entirely absent from the bank's portfolio just three years ago, now represents approximately 5% of its total commitments.
A taboo lifted after decades
This upheaval reflects a change in doctrine. For decades, the EIB refused to finance military investments. But the security situation in Europe has led the institution to break this taboo. It has adopted a series of measures aimed at strengthening investments in security, defense, and critical raw materials. The largest loan ever granted to a company illustrates this shift: €3 billion has been signed with the aircraft manufacturer Airbus to support its defense programs.
Airbus, symbol of the new direction
This increased activity is part of a broader European strategy. The EIB, the main financier of the Union's infrastructure, is gradually rebalancing its priorities. Defense has become a central focus, on par with strategic raw materials. This realignment reflects the continent's new priorities in the face of geopolitical threats.
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