The European Defense Department should accelerate the speed of BME, but the difficulties in accessing funds are real

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When an Energy Company refused to negotiate contracts for one of its radical energy utility customers, due to its security measures, the major Western European sector had contacted the national government, which was quickly solved by the military capabilities, one of its good customers.

Some of your small suppliers are not so lucky.

“If their local banks provide us, they refuse to pay bank accounts or loans,” the manufacturer’s representative of a manufacturer told EuroNius.

There are standards of the environmental, social and governance (ESG) of the question that are classified as an attempt to make companies more stable, and investors and other companies are closely followed. With the aim of guiding investments for the most necessary measures for environmental change, it provides a system of classification of standard measures throughout the volume, according to the EU classification. The safety is considered “dirty” or unbearable.

Therefore, obtaining credit or receiving services such as electricity or transport can be difficult for any company that works in safety or providing industrial companies, and leading to small and medium sized (SME) that does not have the highest level in your country.

“This is a problem because we have no warning on why a particular supplier will not give us screws, for example,” the representative added.

Risks and opportunities move slowly

With a war on its threshold, the main friendly play of continuing to provide military support and dangerous news that Russia may have ways to attack another European country Before the end of the decadeOvarian A runs on the back.

The plan is to pay member states A hundred thousand euros in securityOvarian Over the next four years, they are prioritizing national companies to buy arms organizations that they need to save themselves.

Within two years for Russia to put its tanks in Ukraine, the European Union, which was in effect early in 2020, is now trying to quickly change some of these standards so that the European SMEs get the money needed to meet the expectations.

The good news is, “Over the past 12 to 24 months, many environmental partners have begun to function quickly with security actors,” said Andre Keller, a partner of Germany, which advises Euronevs to the Europe and Security Agency in Europe and the Middle East.

Russia’s militancy, with security and EU conversations with EU conversations, has led to the repair of many corporations and financial institutions against the risk of rewarding.

Between 2021 and 2024, the safety costs of the EU member states increased by 30%, reaching the value of 326 billion. The European Security Department’s revenue reached 158.8 billion by 2023, which rose 16.9% over the previous year, according to the European Space, Security and Security Industries Association (ASD). Exports increased to 57.4 billion more than 12% than the previous year.

“At this time, the companies have found many market opportunities in the security environmental system, so in our view, another tendency to renegotiate their appetite for the risk and risk profile to cooperate in this field,” Keller said.

An “extra risk” for investors

The European Commission, which is a White book on the future of European security Earlier this month, he expects that if the member states finally finalize the so -called savings and investment association and clarify the regulations on revealing sustainable financial information (SFDR).

The European Commission begins with a strategic conversation with this department, proposing a set of activitiesSimplification SMEs and starting companies are important to reduce the bureaucracy and provide European weapons technology script to increase research and innovation in disruption technologies, including AI and quantum.

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As far as the defense sector is concerned, “difficulties are more complex and more complicated than other starts,” Hiriya’s founder and CEO, EuroNius Xavier told Pinjart, a starting, founder and CEO in Belgium.

“The main complexity is to find investors who understand this sector because it is essential to accumulate more capital than another for a possible customer for a long time, and is limited to this potential customer state.

“We are like we accumulate all the worst scenes for a common investor,” its company said, its company is finalizing the prototype of a small grenade -size system that can detect and identify drones on the battlefield.

European Security Fund provides subsidies to these startups, but these subsidies are “not good” because they do not invest in many other information requirements that require many information and resources that require many information and resources.

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One of the ideas that supports this is the Lithuanian government, which provides guarantees for loans or topics that do not capitalize on the Defense and Security Department. As for Pinjart, this move is “the extra risk of running a private investor by investing in the security sector” and allowing companies to start maneuvers and growth.

2.2 billion euros against 32.7 million euros

European security companies say so Quick orders are also needed Along with early allowances, “orders are distributed with the distribution chain so that SMEs or other suppliers can expand,” said the representative of the Best Gun Producer of Western Europe.

They further stated that “what the EU can do is to install the frameing for European companies, so that they can do their work, perhaps the help of important items (…), which is very important at this time,” because the information requirements attached to the ESG standards are very heavy.

“We can do this as big companies with this dimension, but the smallest is too plenty. They are exhausted.”

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In the United States, where the sector is considered very valuable and the information requirements are less severe, where the funds are very plentiful. By the end of 2023 of the European Union Release, between January 2022 and July 2023, the US -Risk capital and private stock companies made more than 2.2 billion euros, while only nine of these businesses were carried out in the EU, with a total of 32.7 million euros.

So clarification of ESG rules is a “progress”, “but it does not usually help.”

Initially, we need to accelerate the ESG, which means “security,” to say that it is protection, environment, social and governance.

“We have now heard of financial institutions, industry, armed forces and the like – if there is no security, all aspects of stability will be placed,” he added.

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