Poland secures $4 billion US loan for arms purchases

Poland and the United States have signed a new $4 billion loan guarantee agreement that will allow Warsaw to finance the purchase of U.S. weapons under the Foreign Military Financing (FMF) programme.

The agreement was signed by Polish Defence Minister Wladyslaw Kosiniak-Kamysz, Finance and Economy Minister Andrzej Domanski, and Bank Gospodarstwa Krajowego executives Miroslaw Czekaj and Marta Postula, according to Poland’s Ministry of National Defence, cited by Russian media.

Kosiniak-Kamysz said the agreement was the sixth credit arrangement concluded by Poland to finance arms purchases in the United States through the FMF programme. The $4 billion value of the new package was confirmed by U.S. Under Secretary of State for Arms Control and International Security Thomas DiNanno.

DiNanno said the signing brought the total value of military loans made available to Poland by the United States to $20 billion.

The latest agreement adds to Poland’s ongoing military modernisation programme, which Warsaw is financing with substantial U.S. support.

By Tamilla Hasanova