Nordic countries to finance arms purchases from Ukrainian manufacturers

30 October, 2024 Assemble of the Varta 2 armored vehicle. Photo credits: Militarnyi All Nordic countries have confirmed their readiness to finance the purchase of weapons from Ukrainian manufacturers.

Herman Smetanin, Ukraine's Minister of Strategic Industries, said the funding will be based on the Danish model. In particular, Norway, Sweden, Finland, and Iceland have confirmed their readiness to provide funding. Ukrainian manufacturers have increased their production capacity and are producing weapons that remain in warehouses and do not reach the Defense Forces due to a lack of state funds for their purchase.

"I remember exactly one year ago, in October 2023, when we first realised that we were able to produce more than we had the funds to buy. And we started thinking with our team about how to fund it all," Herman Smetanin shared.

Herman Smetanin. Photo from the Minister's Facebook page

Ukraine is capable of producing and implementing more projects that would help the country in the war, but the only pressing issue is funding.

In 2024, the idea of financing the purchase of weapons from Ukrainian manufacturers was first proposed to Denmark. The Armed Forces of Ukraine have received 18 new Bohdana self-propelled howitzers, which the Kingdom of Denmark financed. Denmark's order of Ukrainian-made heavy weapons for the needs of the Ukrainian Defense Forces was the first such precedent.

This was part of an official agreement between the two countries on defence cooperation signed in June this year.

2S22 Bohdana wheeled 155mm self-propelled gun on the Tatra T815 chassis, November 2023. Photo credits: press service of the Joint Forces Command

"And we have a portfolio of contracts in the works. And now all the Nordic countries are joining in," the minister said.

Also, the Swedish government will allocate an additional EUR63 million for military aid to Ukraine.