Executive summary 1

1 Introduction 2

2 The emerging defence-finance and procurement architecture 3

  2.1 Security Action for Europe (SAFE) 3

  2.2 The Multilateral Defence Mechanism 3

  2.3 The Defence, Security and Resilience Bank (DSRB) 4

  2.4 NATO and existing procurement machinery 5

  2.5 What is still missing 5

3 What finance can and cannot change 8

4 Practical design lessons for a multilateral defence finance mechanism 9

  4.1 Set out common requirement before choosing suppliers 9

  4.2 Workshare: use market access and tiered rules 10

  4.3 Treat stockpiling as a capability-specific tool 11

  4.4 Separate the demand problem from the industrial-finance problem 12

  4.5 Use existing procurement bodies but preserve institutional independence 13

5 How the MDM and DSRB should fit together 13

6 Recommendations 15