Ukraine and Estonia have agreed to significantly expand defense cooperation, focusing on technologies that directly affect the course of combat operations. Ukrainian Defense Minister Mykhailo Fedorov revealed details of the latest agreements following talks with his counterpart, Hanno Pevkur.
Estonia reaffirmed its stable commitment to allocate at least 0.25% of its GDP to support Ukraine. In 2026, this will amount to approximately 110 million euros.
The parties agreed on a principle under which defense solutions are evaluated solely based on their impact on the battlefield, while funding is tied to real frontline needs without delays or bureaucratic cycles.
The main focus is on drones and counter–unmanned aerial systems, which have become critical in modern warfare. Additionally, Ukraine received $13 million in funding through the PURL mechanism to rapidly cover urgent defense needs.
IT coalition is turning into multibillion-euro budget infrastructure
Separately, work within the IT Coalition, coordinated by Estonia and Luxembourg, is being strengthened.
Within this framework, around 1.4 billion euros have already been accumulated for the development of military communications systems, digital infrastructure, and battlefield management technologies.
This year, Estonia contributes an additional 5.7 million euros to develop the digital components of the defense architecture.
Ukraine and its partners accelerating technology exchange
Mykhailo Fedorov emphasized that the key direction of cooperation is the rapid exchange of technologies that can be implemented directly in combat conditions.
“We are working on exchanging technologies to turn innovations into a real advantage on the battlefield," he noted.
Earlier, Estonia began to rapidly reshape its military strategy, redirecting hundreds of millions toward air defense, drones, and long-range strike capabilities.
Estonia watched Ukraine for four years. Now it’s spending €500 million on lessons
The country reallocated €500 million from its defense budget, scaling back some traditional procurement programs in favor of air defense systems, UAVs, and deep-strike capabilities.
This came amid concerns over a potential operation against Estonia, as a recent investigation found social media accounts that promote the idea of a “Narva People’s Republic”, a separatist project aimed at detaching parts of northeastern Estonia bordering Russia.
