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EU
EU finance ministers convened in Brussels to deliberate on Spain’s proposal for a new joint borrowing mechanism, potentially allowing up to €850 billion annually. ECB President Christine Lagarde supports the initiative, emphasising its importance for economic stability amid ongoing geopolitical uncertainties.
US President Donald Trump has revived annexationist rhetoric regarding Greenland, prompting renewed scrutiny. In Brussels, ambassadors express disagreement over strategies for Serbia, while a controversial letter concerning FIFA gains traction in the European Parliament, highlighting ongoing tensions within EU governance.
Estonian Prime Minister Kristen Michal and Ukrainian President Volodymyr Zelenskyy have signed an agreement to enhance collaboration on drones, military technology, and the defence industry. The accord, established during the NATO summit in Ankara, aims to leverage Ukraine’s battlefield experience for mutual defence capabilities.
The United States and Iran have reached a two-week ceasefire agreement, announced shortly before a military escalation deadline set by President Trump. The accord includes reopening the Strait of Hormuz, allowing tolls on transiting vessels, with further negotiations expected in Pakistan on Friday.
The European Union has urged US President Donald Trump to avoid bombing civilian infrastructure in Iran, warning it could be classified as a war crime. The EU emphasised the need for “maximum restraint” and diplomacy to achieve a peaceful resolution amid rising tensions related to the Strait of Hormuz.
US Vice-President JD Vance accused the European Union of interference in Hungary’s electoral process during his Budapest visit ahead of Sunday’s pivotal vote. Criticising EU digital rules and suggesting foreign influence on the election, Vance expressed support for Prime Minister Viktor Orbán as a leadership model for Europe.
European governments are significantly increasing investments in military space capabilities, responding to heightened security concerns following the cyberattack on the KA-SAT satellite network in February 2022. By 2030, investments are projected to exceed €95 billion, driven by commitments from Germany and France, as Europe seeks greater space autonomy.
The European Union has proposed the AGILE funding programme to enhance the speed of defence technology deployment. Aimed at startups and SMEs, AGILE seeks to bridge the gap between innovation and real-world military applications, addressing the growing challenges of modern warfare and innovation pace.
EU member states’ defence research and development reached €13 billion in 2024, growing by €4 billion in 2025, per European Defence Agency estimates. The AGILE programme allocates €115 million to support rapid innovation, aiming to enhance defence technology deployment within three years.
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