Loan for modernizing the Army
Romania signed a loan agreement with the United States of almost 1 billion dollars for the modernization of the Army.
Roxana Vasile, 26.09.2024, 13:50
Romania signed a loan agreement with the United States for the modernization of the Army. The signing ceremony took place on Wednesday at the Government headquarters, in the presence of the Prime Minister Marcel Ciolacu and the US ambassador to Bucharest, Kathleen Kavalec, as well as the director of the Defense Security Cooperation Agency, Michael Miller. 920 million dollars will allow both the strengthening of the defense capacity, by equipping the army with modern technology, and the development of the relevant national industry, said Prime Minister Ciolacu, underlining that this significant loan shows, at the same time, the trust and the status that Romania enjoys in the relationship with its strategic partner, the United States.
Marcel Ciolacu: ʺToday Romania joins a very small group of key partner states of the United States that have so far benefited from this program developed through the US Fund for financing and I am glad that we will use this money both to strengthen Romania’s defense capacity by equipping it with modern technology, and to develop the local defense industry. We will develop new production capacities in Romania, we will create jobs for Romanians and we will become relevant again in terms of the production of military equipment at the regional level. At the same time, we will have access to state-of-the-art military equipment, which will help us work together with the United States and our NATO allies to strengthen collective defense and deter threats to Romania and the countries on the Eastern flank of the Alliance.ʺ
In turn, Ambassador Kathleen Kavalec believes that the signed agreement is more than a financial one, it represents the strength and resilience of the bilateral partnership, as well as the joint commitment of the United States and Romania to ensuring peace, stability and security in the region. According to Mrs. Kavalec, in the 20 years of NATO membership, Romania has demonstrated countless times that it is a reliable ally and a pillar of stability along the eastern flank of the Alliance and in the Black Sea region. By offering American funds, Washington’s goal is to ensure that Romania remains at the forefront of innovation and military equipment for many years to come, which will equally strengthen bilateral economic relations, Kathleen Kavalec added. She also mentioned, in the context of Russia’s aggression against Ukraine, Romania’s exemplary response, from hosting thousands of Ukrainian refugees to facilitating grain transit and training the Ukrainian pilots on F-16s. (LS)
