BRUSSELS / EuroWire / – The European Union has greenlit a €115 million initiative aimed at boosting defence innovation throughout the bloc. The Programme for Agile and Rapid Defence Innovation, known as AGILE, is designed to assist small and medium-sized enterprises, including start-ups and scale-ups. The European Union Council formally approved the regulation on October 12 after completing all legislative procedures. The initiative focuses on emerging and disruptive technologies, enabling quicker transition from development to practical deployment in defence applications.
AGILE will fund the development and testing of cutting-edge defence technologies, including civilian innovations adapted for military purposes. The programme aims to award grants within four months of application submission. EU officials anticipate that technologies supported through AGILE will reach defence forces within one to three years. Funding per project will range from €1 million to €5 million, providing smaller companies with direct access to financial support for qualifying projects.
European Commission officials expect AGILE to back approximately 20 to 30 projects during its initial phase. Projects chosen for funding may receive support covering up to 100% of eligible costs. Companies are also permitted to claim eligible expenses incurred up to three months prior to the closing of a call. The work programme will focus on mission-driven product development and market entry activities that facilitate the movement of defence solutions toward operational users and established procurement channels.
Accelerated grants aim to support smaller defence firms
Participating companies under AGILE will gain expedited access to testing and experimentation facilities across Europe. The framework also facilitates matchmaking opportunities between smaller innovators and major defence manufacturers. EU member states will assist in defining programme challenges, ensuring that funded work aligns with identified capability needs. Simplified procurement procedures are included for supported products, offering an additional pathway for successful projects to transition from testing to integration within defence supply chains and operational deployment across participating European markets.
The first call for proposals is anticipated at the start of 2027, coinciding with the programme’s operational launch. Eligible applicants will include companies from EU member states and associated nations. Ukraine, along with countries in the European Economic Area and European Free Trade Association, can also participate. Both single companies and consortiums will be able to apply under the funding framework for suitable projects.
Official launch scheduled for early 2027
Following a political agreement reached in July, the European Parliament approved the final text in a plenary vote on October 6. The European Commission initially unveiled AGILE in March 2026 as a dedicated tool to accelerate defence technology development. With formal adoption now secured, the remaining legal steps before implementation will be completed. The regulation must be signed by the Presidents of the Parliament and Council before publication in the EU Official Journal, after which it will enter into force 20 days later.
AGILE is set to complement existing European programmes that support defence research, industrial growth, and technology adoption. Its €115 million budget fits within the current EU financial framework and emphasizes support for smaller and newer defence suppliers. The funding approach combines swift grant decisions, access to testing facilities, and pathways into procurement for selected projects. The initiative aims to reduce the time from technological innovation to operational testing and deployment by European defence systems across participating nations.