The Governor of the Bank of Greece has indicated that the European Central Bank (ECB) could take a more active role in supporting the defense industry within the European Union.

This statement comes against the backdrop of increasing calls for member states to elevate military spending in response to evolving security threats.

The Greek central bank chief suggested that if the EU collectively commits to higher defense expenditures, the ECB should consider formulating supportive financial measures to facilitate this goal.

His remarks are part of a broader discourse on the role of financial institutions in bolstering national security initiatives across Europe.

The conversation gained traction following heightened geopolitical tensions and the ongoing conflict in Ukraine, which has prompted many EU countries to reassess their defense budgets.

The ECB’s involvement in such fiscal matters would represent a significant shift from its traditional focus on monetary policy and economic stabilization.

Discussions around the potential expansion of the ECB's mandate could signify a transformative moment in how European financial institutions engage with defense spending.