BRUSSELS / EuroWire / – The European Union has approved a €115 million initiative aimed at boosting innovation in defense technologies across member states. Known as the AGILE programme, it is designed to support small and medium-sized enterprises, including start-ups and scale-ups. The Council of the European Union officially endorsed the regulation on October 12 following the completion of the final legislative steps by lawmakers. The initiative focuses on emerging and disruptive technologies that can transition swiftly from development stages to practical defense applications.
AGILE aims to fund the creation and testing of innovative defense solutions, encompassing civilian technologies adapted for military purposes. The programme is targeting a four-month timeframe for grant awards once applications are submitted into the funding process. EU officials anticipate that supported innovations will reach defense forces within a period of one to three years. Funding amounts will range from €1 million to €5 million, providing smaller companies direct access to resources for projects aligned with programme criteria.
European Commission projects that AGILE will back approximately 20 to 30 projects in its initial phase. Selected initiatives may be eligible for funding covering up to 100% of their qualifying expenses. Companies can also claim costs incurred up to three months before the closing date of a call. The work programme will cover activities related to mission-driven product development and market entry efforts, facilitating the movement of defense solutions toward operational customers and established procurement channels.
Fast-track grants for smaller defense companies
Companies supported by AGILE will gain quicker access to testing and experimental facilities across Europe. The framework also facilitates matchmaking between small innovators and leading defense manufacturers. EU member states will collaborate to identify programme challenges, ensuring funded projects address specific capability needs. The rules also introduce simplified procurement procedures for supported products, providing an additional pathway for projects to transition from testing phases into defense supply chains and operational deployment within participating European markets.
The first call for proposals is anticipated at the start of 2027, when the programme is expected to be operational. Eligible participants include companies from EU member states and associated nations. Ukraine and countries within the European Economic Area and European Free Trade Association are also eligible to participate. The programme allows individual companies to apply, with consortium-based participation remaining an option under the funding framework for qualifying projects.
Official launch scheduled for early 2027
Following a plenary vote on October 6, the European Parliament approved the finalized text after a political agreement was reached in July. The EU first introduced AGILE in March 2026 as a dedicated mechanism to accelerate defense technology development. The current approval completes the remaining legal procedures before the programme becomes active. The Presidents of the Parliament and the Council must sign the regulation before it is published in the EU Official Journal, after which it will enter into force 20 days later.
AGILE complements existing European initiatives that support defense research, industrial growth, and technological adoption. Its €115 million budget aligns with the current EU financial framework and emphasizes support for smaller and emerging defense suppliers. The funding approach combines swift grant decision-making, testing access, and pathways into procurement for selected projects. The objective is to reduce the time between technological innovation, operational testing, and deployment by European defense entities across participating nations.