BRUSSELS / EuroWire / – The European Union has unveiled a €115 million initiative aimed at boosting defence innovation within its member states. The programme, known as AGILE, is designed to support small and medium-sized enterprises, including startups and scale-ups. The Council of the European Union officially approved the regulation on October 12, following the completion of the final legislative steps by lawmakers. Its focus is on emerging and disruptive technologies capable of transitioning swiftly from development phases to practical defence applications.
AGILE will fund the creation and testing of innovative defence solutions, such as civilian technologies adapted for military purposes. The initiative aims to award grants within four months of the application process. EU officials anticipate that the supported technologies will be operational within one to three years. Funding amounts will vary from €1 million to €5 million, providing smaller firms direct access to financial resources for qualifying projects under the programme criteria.
The European Commission projects that approximately 20 to 30 projects will benefit from AGILE during its initial phase. Selected initiatives may receive funding that covers up to 100% of eligible expenses. Companies are also permitted to claim costs incurred up to three months before the call’s closing date. The work programme will encompass mission-oriented product development and market delivery activities that facilitate the transition of defence solutions to operational customers and procurement channels.
Accelerated funding aimed at smaller defence firms
Companies supported by AGILE will gain quicker access to testing and experimentation facilities across Europe. The framework also facilitates matchmaking between smaller innovators and larger defence contractors. EU member states will help identify programme challenges, ensuring that funded projects align with existing capability needs. Additionally, rules include simplified procurement procedures for supported products, offering a streamlined route for successful projects to integrate into defence supply chains and operational deployment within participating European markets.
The first call for proposals is anticipated at the start of 2027, coinciding with the programme’s operational launch. Eligible participants will include firms from EU member states, associated countries, Ukraine, and nations within the European Economic Area and European Free Trade Association. Both individual companies and consortiums can apply under the funding framework, provided their projects meet eligibility criteria.
Implementation scheduled for early 2027
Following a political agreement reached in July, the European Parliament ratified the final text during a plenary vote on October 6. EU officials initially introduced AGILE in March 2026 as a dedicated tool for expediting defence technology development. With formal approval now secured, the remaining legal procedures must be completed before the programme can commence. The regulation will require signatures from the Presidents of the Parliament and the Council before publication in the EU Official Journal, after which it will enter into force 20 days later.
AGILE is intended to complement existing European initiatives supporting defence research, industrial development, and technology adoption. Its €115 million budget is incorporated within the current EU financial framework, with a particular emphasis on supporting smaller and newer defence suppliers. The funding approach combines swift grant decisions, access to testing, and pathways into procurement for selected projects. The programme’s goal is to shorten the timeline from technological innovation to operational deployment by European defence systems across participating nations.