United States Announces $920 Million Foreign Military Financing (FMF) Direct Loan Agreement with Romania
Summary
The United States is pleased to announce a $920 million Foreign Military Financing (FMF) direct loan agreement with Romania.The FMF loan underscores the strategic partnership between the United States and Romania, a strong NATO Ally along its eastern flank and an important force for political and economic stability in Europe. The U.S. government is providing up to $60 million in FMF grant funding toward the cost of this loan, which will help accelerate Romanias major military modernization program, including purchases of U.S. defense equipment such as Abrams main battle tanks and coproduction of ammunition.The signing of the agreement was hosted today by Prime Minister Marcel Ciolacu and signed by U.S. Defense Security Cooperation Agency (DSCA) Director Michael Miller, and Romanian Finance Minister Marcel Bolos, in the presence of Defense Minister Angel Tilvar and Economy Minister Stefan-Radu Oprea as well as U.S. Ambassador Kavalec said: We operate today in a fundamentally different strategic landscape in Europe, and Romanias response has been nothing short of exemplary. We look forward to continuing our partnership on programs that this loan may support, Director Miller said.The signing of the loan agreement is a major moment in the evolution of the Strategic Partnership between Romania and the United States of America and a solid argument of the trust and status that Romania enjoys in this relationship with our strategic ally. At the national level, we will focus in the coming period to develop new production capacities in Romania, create jobs for Romanians and become relevant again in the production of military equipment at the regional level, said Prime Minister Marcel Ciolacu.Proceeds from the FMF direct loan will advance Romanias military modernization effort across a wide range of capabilities, helping ensure that Romania can deter threats, defend its sovereignty, and contribute to NATOs collective security for decades to come.For more information on FMF loans, please visit the dedicated page at https://www.dsca.mil/foreign-military-financing-fmf