The new EU defence policies and their impact on the development of the Greek defence industry

• The creation of additional fiscal space (NEC) and the provision of low cost lending (SAFE) of ReArm Europe will enhance Greece’s defence expenditures as well as demand for weapon systems throughout the EU.
• The Greek defence industry will exploit these growing opportunities due to its integration in pan-European supply chains, an outcome of the offset agreements of the 1990s and 2000s.
• With three additional policies the Greek defence industry can position itself with even greater effectiveness in this new environment.
• First, build further on the government’s ongoing energetic management of defence-related assets under state ownership, primarily with the exit of the Hellenic Aerospace Company from tight state control.
• Second, reform defence procurement so that the need for speed is addressed which is necessary for realizing Civil-Military Fusion (CMF), including through the transition of the Hellenic Court of Audit from ex ante to ex post review of defence procurement contracts.
• Third, strengthen the Hellenic Center for Defence Innovation (HCDI) with additional financial resources and appointment to its Board of distinguished Greek diaspora scientists so that HCDI can catalyse the participation of diaspora start-ups and diaspora scientific talent in the generation, by the Greek defence industry, of asymmetric force to counter the Turkish threat.

Read here the Policy paper by Antonis Kamaras, Research Associate, ELIAMEP.