Poland has submitted an application for the EU output clause. It is about defense expenses

Poland has submitted an application for the EU output clause – the Ministry of Finance said in a communiqué. The Ministry of Finance informed about the intention to use the clause on Tuesday.

As stated, on March 19, 2025, the European Commission in a statement encouraged the Member States to coordinate the National Escape Clause (NEC) due to the unique circumstances of Russia's aggression on Ukraine and the deteriorating security environment. This should – in the opinion of the EC – allow the European Union to achieve permanently higher defense expenses while maintaining stable public finances in the average period.

“The national clause allows you to move away from the expenditure path recommended by the ECOFIF Council to the amount of defense expenditure in relation to the situation before the war in Ukraine, but not more than 1.5 percent of GDP. According to estimates, the increase in defensive expenditure according to the EU definition of Cit in the years 2024-25, respectively, 1.1 percent of GDP and 1.3 percent

“Also in subsequent years of the clause, defense expenses in Poland will be at a level significantly higher than in 2021” – added.

MF points out that considering that This unique situation applies to all Member States, and, taking into account the maximization of the impact on the defense readiness of the EU and the production capacity of the defense industry, the EC encouraged all Member States to apply – in a coordinated manner – For the output clause, as far as possible, until the end of April.

“The April deadline for submitting an application for a national output clause is not an impassable period and the state may make a decision later. The applications of the Member States that have been submitted to the EcoFin Council and the European Commission by the end of April, including Poland, will be evaluated by the EC until June 4 and based on its recommendation, the ECINFIN Council will accept the appropriate recommendations on July 8” – it was written. “

“During the use of the EU state clause, they will continue to be subject to EU economic management regulations,” he added. (PAP Biznes)

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