BRUSSELS / EuroWire / – The European Union has endorsed a €115 million initiative aimed at accelerating the development of defence technology. The programme, known as AGILE, focuses on supporting smaller enterprises engaged in emerging and disruptive technological solutions. The formal approval was completed by the Council of the European Union on October 12. This scheme offers start-ups, scale-ups, and other qualifying companies a specialized pathway to secure financing for defence-related products with shorter development cycles and funding timelines.
AGILE aims to back both innovative military technologies and civilian products that can be adapted for defence purposes. The initiative targets a four-month timeframe for awarding grants following the application submission. Technologies supported through the programme are expected to reach defence users within one to three years. Grants will vary from €1 million to €5 million, with funding rules permitting projects to receive support covering up to 100% of their eligible expenses.
The European Commission anticipates that the programme will fund approximately 20 to 30 projects during its initial phase. Eligible firms can also claim certain project expenses incurred up to three months prior to the closing of a funding call. This provision allows ongoing development activities to proceed during the application process. AGILE will finance mission-oriented technology development and activities designed to facilitate the transition of completed products to defence buyers. Additionally, it fosters quicker connections between innovative suppliers, testing facilities, and established defence industry players.
AGILE broadens opportunities for defence testing and procurement
Participants chosen through AGILE will gain enhanced access to testing and experimentation infrastructure available across participating European nations. The framework also encourages collaboration between smaller technology developers and larger defence manufacturers. EU member states will play a key role in shaping programme challenges based on identified defence capability needs. The initiative includes streamlined procurement procedures for products developed under the scheme, offering another pathway for funded technologies to transition from testing phases into defence supply chains and operational deployment.
Eligible participants include companies from EU member states and associated countries. Ukraine, along with eligible nations within the European Economic Area and European Free Trade Association, will also be able to participate. While individual applications are permitted where rules allow, consortium submissions remain an option. The first call for proposals is projected to open in early 2027. The programme will become operational once the remaining legal and publication procedures are finalized.
Legal approvals set the stage for 2027 funding commencement
On October 6, the European Parliament approved the legislation after negotiations concluded a political agreement in July. The AGILE proposal was initially presented by EU institutions in March 2026. Now that formal adoption is complete, the legislation awaits signatures and publication before it can be enacted. The Presidents of the Parliament and the Council must sign off on the document. Following publication in the EU Official Journal, the regulation will take effect 20 days later.
AGILE will operate alongside existing European defence research and industrial programmes. Its €115 million budget is directed toward smaller suppliers and tech firms seeking quicker access to defence funding. The programme unites grants, testing opportunities, and procurement pathways within a single funding structure. Designed with shorter award timelines and faster progression from development to operational deployment, officials aim to ensure rapid implementation. The inaugural funding round scheduled for 2027 will mark the programme’s official launch across participating European markets.