European Commission Reveals Plan to Spend 5B on Military

The European Commission has revealed its plan to strengthen the continent’s military prowess.

After 2020, a 5 billion euro ($5.3 bn) annual investment fund would allow governments to develop assets together, while a separate research pot would receive as much as 500 million euros a year.

European Commission Vice President Jyrki Katainen told reporters Wednesday that EU member states want the project to go ahead as a means to increase security while also saving money.

He also claimed countries traditionally opposed to the plan were now coming around.

“Some member states that have been traditionally quite critical to defense cooperation have to some extent changed their mind because they have seen that we are not changing treaties,” he said in a press conference.

The European Commission claims that the lack of cooperation on defense and security between EU members is estimated to cost between 25 and 100 billion euros every year.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza