Finland, UK, Netherlands to jointly procure defense equipment

Finland and a group of other NATO countries are exploring the establishment of a new financing mechanism, said the Ministry of Defence and the Ministry of Finance in a joint press release on Tuesday.

The new mechanism would accelerate defence investments, increase the availability of critical capabilities and drive joint procurement through multinational financing arrangements.

Finland is involved in discussions with core allies to lay the groundwork for the financing mechanism.

Commitment to the mechanism will require political decisions on the national level.

Finland is participating in these discussions with the United Kingdom, the Netherlands and other partners.

The new financing mechanism would complement NATO and EU initiatives and support cooperation with other partners and international institutions.

The mechanism would use joint financing arrangements to strengthen collective deterrence, expand European defence industrial capacity and increase the defence capability of participating countries through joint procurement.

Work to set up this new mechanism was prompted by major shifts in the security environment.

News agency Xinhua adds: Dutch Finance Minister Eelco Heinen announced on Tuesday that the Netherlands, the United Kingdom, and Finland will jointly finance and procure defense equipment.

"In the interest of European security, we must act together. That is why the Netherlands, the United Kingdom, and Finland are taking the lead in advancing joint procurement and coordinated tendering of defense equipment," the minister wrote on social media platform X.