Overview
- The government remains divided over €14.9 billion reserved under the EU’s SAFE loan scheme, with Defence Minister Guido Crosetto pushing to use the full amount for new multinational military projects and Economy Minister Giancarlo Giorgetti together with Prime Minister Giorgia Meloni seeking to divert part to immediate domestic needs.
- The government, as of May 30, 2026, has not finalised its SAFE request and is likely to lodge a reduced “mini-request” of roughly €4–5 billion aimed at covering contracts already signed by the Defence Ministry.
- Crosetto has sent two letters warning that reducing SAFE use could force Rome to invoke the EU ‘safeguard clause’ to fund extra defence spending if Italy falls short of NATO targets.
- Brussels and other member states provide a backdrop of momentum: five countries have signed SAFE agreements and Poland received a €6.6 billion disbursement, which increases pressure on Italy to decide quickly.
- SAFE offers long‑term, low‑cost EU loans for coordinated arms, munitions, air defences, drones and cyber projects, so Italy’s choice will shape near-term household relief and energy spending as well as the country’s role in planned European defence procurement.