Category: Commerce

  • MIL-OSI USA: Fischer Questions Michael Kratsios and Mark Meador at Nomination Hearing

    US Senate News:

    Source: United States Senator for Nebraska Deb Fischer

    U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Committee on Commerce, Science, and Transportation, questioned two of President Trump’s nominees: Mr. Michael Kratsios, nominated to be the Director of the Office of Science and Technology Policy (OSTP), and Mr. Mark Meador, nominated to be a Federal Trade Commissioner.

    During the hearing, Senator Fischer asked Mr. Kratsios about emerging technologies and the Department of Defense’s essential role in shaping national spectrum policy, especially given its unique testing abilities for wireless technology. She also asked about the lessons learned from the America’s Mid-Band Initiative Team (AMBIT) spectrum auction.

    Additionally, Senator Fischer questioned Mr. Meador about how he would effectively use agency resources to uphold the Federal Trade Commission’s (FTC) mission. She emphasized the importance of the FTC’s coordination with the Department of Justice (DOJ) on enforcement efforts to protect consumers.

    Click the image above to watch a video of Senator Fischer’s questioning

    Click here to download audio

    Click here to download video

    On the DoD’s Cutting-Edge Spectrum Testing and Innovation:

    Senator Fischer: Mr. Kratsios, I welcome your enthusiasm for advancing American leadership on emerging technologies. As you know, OSTP is responsible for coordinating science and tech policy among federal agencies. 

    When you were the United States Chief Technology Officer, one of your focuses was advancing DoD’s unique testing abilities to drive innovation. And at the time, you stated that the Department of Defense is “at the forefront of cutting-edge 5G testing and experimentation.” Do you still believe that?

    Michael Kratsios: I do, yes.

    Senator Fischer: 
    And when it comes to 5G and other spectrum matters, do you believe that DOD testing should be faithfully integrated into a national spectrum policy?

    Michael Kratsios: Yes, DOD is a critical component of the spectrum strategy.

    On AMBIT:

    Senator Fischer: Previously, I understood you were involved with “America’s Mid-Band Initiative Team,” known as AMBIT, and you brought that up a couple times yesterday in our discussion. And so, I looked into it a little bit more to familiarize myself with it. That was an auction of mid-band spectrum held by DOD, and it was to make those licenses available to wireless companies. Is that correct?

    Michael Kratsios: Yes. 

    Senator Fischer: Did the AMBIT auction cause more congestion for defense systems operating in the lower 3 [GHz] band?

    Michael Kratsios: 
    In my opinion, I think AMBIT provided an opportunity for a technical analysis of that spectrum range and find a way to be able to still complete the national security mission by moving some of the workloads that were in the auction band to lower bands. 

    Senator Fischer: 
    So, they had to compress that band even more then in order to accommodate that into the lower 3. Is that correct?

    Michael Kratsios: 
    Yeah, so some of the activities that were in the band that ultimately were auctioned were moved down to lower bands.

    Senator Fischer: 
    I also understand that AMBIT struggled on the back end with major relocation costs from the defense systems that were displaced in that process of compressing them. Is that correct?

    Michael Kratsios: 
    I haven’t tracked the details of that since I left office, but there’s always transition costs associated with freeing up bands, typically.

    Senator Fischer: Are you familiar with any of the costs? Are those readily available, so we can access those? Do you know how that cut into the net revenue that was expected from the auction?

    Michael Kratsios: 
    I’m not familiar with those details, but I can try to see what’s publicly available.

    Senator Fischer: That would be great. 

    On Responsible FTC Enforcement:

    Senator Fischer: 
    Mr. Meador, over the years, the Federal Trade Commission has faced off in court against the deepening pockets of major corporations, especially when it comes to Big Tech. If confirmed, how would you prioritize litigation and effectively use agency resources in upholding the FTC mission?

    Mark Meador: That’s a very important topic. I will say the FTC staff have gotten very good at doing a lot with often much less. If confirmed, my first step will be to consult with the Chairman and the Commissioners and of course, the staff, who understand what challenges they are facing. What do we have on our docket and what resources do we have available? And then we’re collaborating with all of them to determine which cases are the highest priority to protect the largest number of consumers from the gravest threats. 

    On FTC Coordination with the Department of Justice: 

    Senator Fischer: It’s my understanding that at times there can be tension with that enforcement coordination with the Department of Justice. Do you have any comments on that? Or if that would occur, what would you do?

    Mark Meador: Sure, this is something that has happened frequently in the past. Some of it has unfortunately been very public. I’m confident that President Trump has selected leaders for this administration who can work very well together. I think it is of paramount importance that both agencies be singing from the same hymn sheet, be aligned on policy and enforcement decisions, and there should really be no daylight between them when it comes to how they’re enforcing the antitrust laws.

    I think anything is possible if you don’t care who gets the credit. And so, when it comes to merger clearance, we should be focusing on protecting consumers as fast as possible, not trying to get one up on the other agency.

    Senator Fischer: Thank you both for putting yourselves forward to serve in these very dangerous times that we live in. I really appreciate it and thank you to your families as well.

    MIL OSI USA News

  • MIL-OSI: ThoughtSpot Appoints Brad Roberts as Chief Financial Officer to Drive Growth and Scalability in the AI Era

    Source: GlobeNewswire (MIL-OSI)

    MOUNTAIN VIEW, Calif., Feb. 26, 2025 (GLOBE NEWSWIRE) — ThoughtSpot, the AI-native Intelligence Platform, has announced the appointment of Brad Roberts as Chief Financial Officer (CFO). This strategic appointment to the leadership team underscores ThoughtSpot’s commitment to building a trusted AI company that drives industry innovation in the era of AI and agentic analytics.

    Roberts, a seasoned executive finance leader, brings over thirty years of experience in the technology industry, having served as a CFO and interim CFO for high growth technology companies including Addepar and Panorama Education, among others. He also spent nearly a decade at Synopsys, supporting and managing growth from $400M to $1.3B in his tenure and another decade in the technology practice of strategy consulting firm, Bain & Company.

    “Brad exemplifies the financial leadership that is crucial as we accelerate our growth and solidify our position as a leader in AI-powered analytics intelligence,” said Ketan Karkhanis, Chief Executive Officer at ThoughtSpot. “His experience is not only valuable, it becomes an asset to our roadmap at ThoughtSpot as we take advantage of the AI opportunity in front of us and build ThoughtSpot 3.0, powering the autonomous enterprise and leveraging agentic AI for all.”

    As AI redefines business intelligence, trust becomes a key catalyst for future buying decisions. Roberts’ leadership, in collaboration with the executive team, will be instrumental in empowering customers to confidently leverage ThoughtSpot’s intelligence platform and positions ThoughtSpot to take advantage of the moment and continue their leadership position in AI-driven intelligence.

    “ThoughtSpot is uniquely positioned to drive transformational change across customers using agentic AI for management insights and process efficiencies.The opportunity ahead enables us to evolve from a high-growth company into an industry-defining leader,” said Brad Roberts, Chief Financial Officer at ThoughtSpot. “Ketan and the leadership team have set a bold and urgent vision, providing a clear path forward for my role. Finance will be a strategic enabler, fueling innovation, expanding our product portfolio, and powering the next phase of ThoughtSpot’s evolution.”

    Roberts joins ThoughtSpot after posting significant fiscal growth in Fiscal Year 2024, closing with 40% year-over-year SaaS growth and more than doubling its monthly active users. ThoughtSpot also unveiled a significant expansion to the company’s artificial intelligence capabilities with the launch of Spotter, an agentic AI analyst, followed by the launch of Analyst Studio, a creator space that empowers data teams to get data ready for AI and analytics.

    In the last year, ThoughtSpot has appointed several leaders, including Ketan Karkhanis as Chief Executive Officer, Ahmed Quadri as Chief Customer Officer, Anthony Lee-Masis as Chief Information Security Officer, and Francois Lopitaux as SVP and General Manager of Emerging Technologies and Products.

    Roberts holds an MBA from Harvard Business School as well as bachelor’s degrees from the University of Pennsylvania Wharton Business School and the School of Engineering and Applied Science.

    About ThoughtSpot
    ThoughtSpot is the AI-native Intelligence Platform for every enterprise. Our mission is to create a more fact-driven world by empowering everyone to explore any data, ask any question, and uncover actionable insights faster—leading to growth, better business outcomes, and efficiency in their organizations. With ThoughtSpot’s intuitive natural language search, every user can confidently generate answers from their business data at every point of decisioning. The platform’s unified capabilities, along with our agentic AI analyst, Spotter, enable users to create precise, transparent, personalized, and actionable insights with enterprise grade trust, security, and scale. Accessible via the web and mobile app, ThoughtSpot ensures intelligent decision-making happens seamlessly, wherever and whenever needed. For developers, ThoughtSpot Embedded offers a low-code solution to integrate AI-powered analytics directly into products and services, driving data monetization and boosting user engagement for customers. Industry leaders like NVIDIA, Hilton Worldwide, Capital One and Huel rely on ThoughtSpot to transform how their employees and customers take advantage of data to create better business outcomes. Try ThoughtSpot today and experience the new era of analytics.

    PR Contact:
    Lindsay Noonan
    Director of Communications, ThoughtSpot
    press@thoughtspot.com 

    The MIL Network

  • MIL-OSI: Johanna Bartee Appointed to Boards of First Fed and First Northwest Bancorp

    Source: GlobeNewswire (MIL-OSI)

    PORT ANGELES, Wash., Feb. 26, 2025 (GLOBE NEWSWIRE) — First Northwest Bancorp (NASDAQ: FNWB) and its subsidiary First Fed Bank are pleased to announce the appointment of Johanna Bartee to the Board of Directors for both companies.

    Ms. Bartee brings extensive experience in banking, finance, and economic development, along with a strong commitment to community-driven initiatives across the North Olympic Peninsula.

    “We are thrilled to welcome Johanna to our Board of Directors,” said Matt Deines, President and CEO of First Fed Bank and FNWB. “Her expertise in finance and community development will be invaluable as we continue to serve our customers and communities.”

    Ms. Bartee is the Executive Director of JST Capital, a Native Community Development Financial Institution (CDFI) in Sequim, WA, dedicated to supporting underserved communities. Before founding JST Capital in 2018, she built a successful career in finance, working in institutional banking, investment banking, and business development roles at leading financial firms in New York and Southern California. Prior to completing an MBA at Columbia Business School, she managed large-scale communications and IT security projects as an Account Manager for a Department of Defense contractor in Honolulu, Hawaii.

    Beyond her professional achievements, Ms. Bartee is actively involved in community development. She serves as a Board Director for the Clallam County Opportunity Fund and is a member of the Port Angeles Waterfront District Board, advocating for economic growth and revitalization initiatives.

    Ms. Bartee’s appointment reflects First Fed’s commitment to strengthening its leadership with professionals dedicated to fostering economic and social impact.

    About FNWB

    First Northwest Bancorp (Nasdaq: FNWB) is a financial holding company engaged in investment activities including the business of its subsidiary, First Fed Bank. First Fed is a Pacific Northwest-based financial institution which has served its customers and communities since 1923. Currently First Fed has 18 locations in Washington state including 12 full-service branches. First Fed’s business and operating strategy is focused on building sustainable earnings by delivering a full array of financial products and services for individuals, small businesses, non-profit organizations and commercial customers. In 2022, First Northwest made an investment in The Meriwether Group, LLC, a boutique investment banking and accelerator firm. Additionally, First Northwest focuses on strategic partnerships to provide modern financial services such as digital payments and marketplace lending. First Northwest Bancorp was incorporated in 2012 and completed its initial public offering in 2015 under the ticker symbol FNWB. First Fed is headquartered in Port Angeles, Washington.

    First Fed Bank was recognized by Puget Sound Business Journal as a Best Workplace in 2023 and top Corporate Philanthropist in 2023 and 2024. By popular vote, First Fed received 2024 awards for Best Bank and Best Lender in Best of the Peninsula for Clallam County. First Fed is a Member FDIC and equal housing lender.

    Contact: Matthew P. Deines
    President & CEO
    (360) 457-0461

    The MIL Network

  • MIL-OSI United Kingdom: Enhanced registration service to reduce requisitions and delays

    Source: United Kingdom – Executive Government & Departments

    News story

    Enhanced registration service to reduce requisitions and delays

    HM Land Registry is introducing enhanced digital checks to support our customers to submit error-free applications.

    MMD Creative/Shutterstock.com

    • Simple administrative errors, such as name or title number errors, will be highlighted on submission for all digital applications submitted through Business Gateway and the Digital Registration Service in the portal.
    • The enhanced service will be delivered in autumn 2025. We will be working with our existing third-party integrators to migrate to the new service in the following months.
    • Customers will be prompted to resolve highlighted errors before resubmitting applications.
    • By resolving these errors before accepting applications, we will save our customers thousands of hours spent on unnecessary administrative tasks and enable an improved speed of service by allowing caseworkers to focus on the more complex areas of land registration.

    From autumn 2025, customers submitting applications through the Digital Registration Service, on both the HM Land Registry portal and through third-party software providers, will be unable to submit applications containing simple errors. We’ll be working with third-party integrators to support the adoption of this new service. 

    Many of these checks are already being performed in the Digital Registration Service on the portal and will soon be available for all Business Gateway-enabled software. 

    By 2028 this could save customers an estimated 300,000 hours a year, waiting for an unnecessary, manual, administrative process, and end annoying requisitions that can be resolved much earlier. This is roughly 150 people, working full time, for a year.

    Mark Gray, Chief Transformation & Technology Officer, said

    This is another key milestone in improving our customer service and our processing times. By preventing errors up-front, automating routine tasks and removing unnecessary correspondence, we will save time for our customers and our caseworkers alike. And this is just the next step in modernising and automating more of our work, there is much more to come.

    HM Land Registry is focusing on easily avoidable, administrative errors to save customers’ time but also to enable further automation of HM Land Registry processes – removing time-consuming administrative work and improving overall service speeds.

    The organisation will continue to enhance the registration service by introducing further checks on the data contained in transfer and charge deeds in late 2026.

    Read through the full list of checks.

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI: Chargeflow Expands to New York City with Flatiron District Office, New VP Sales Hire, Strengthening Global Presence and Growth

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, Feb. 26, 2025 (GLOBE NEWSWIRE) — Chargeflow, the leading AI-powered chargeback prevention and automation platform, is proud to announce the opening of its new offices in the heart of New York City’s Flatiron District. This expansion solidifies Chargeflow’s commitment to innovation, industry leadership, and its mission to revolutionize the chargeback and fraud prevention ecosystem for online merchants worldwide.

    The Flatiron District, known as a hub for tech startups, fintech firms, and venture-backed startup companies, provides the perfect location for Chargeflow’s continued growth. With access to top-tier talent, strategic partners, and a dynamic business community, Chargeflow’s presence in New York will accelerate product innovation, customer success, and market expansion efforts.

    “We’re thrilled to establish a stronger footprint in New York City, a hotspot for some of the most exciting fintech and SaaS companies in the world,” said Ariel Chen, CEO and Co-Founder of Chargeflow. “This move is a testament to our rapid growth and our commitment to building a world-class team and solution that will redefine the chargeback management landscape.”

    As part of this expansion, Chargeflow is also excited to announce the hiring of Gabi Kobrin as its Vice President of Sales. With extensive experience in scaling high-growth fintech and SaaS organizations such as Riskified and Balance, Kobrin will spearhead Chargeflow’s sales strategy, drive revenue growth, and strengthen relationships with enterprise clients.

    “I’m honored to join Chargeflow at such a pivotal time,” said Gabi. “The company is tackling one of the biggest inefficiencies in the payments industry, and I look forward to contributing to our mission of protecting merchants with an industry-leading, AI-driven chargeback solution.”

    Chargeflow is actively hiring for multiple positions in sales, marketing, customer success, and product development in its New York office as well as its Israeli headquarters. The company seeks talented professionals eager to shape the future of eCommerce payments and fraud prevention.

    For more information about Chargeflow’s NYC expansion or career opportunities, visit Chargeflow.io/careers/

    About Chargeflow
    Chargeflow is the leading AI-powered chargeback automation platform, helping online merchants fight and prevent chargebacks with cutting-edge technology and machine learning. Trusted by thousands of merchants globally, Chargeflow simplifies dispute resolution, recovers lost revenue, and enhances payment efficiency. Learn more at www.chargeflow.io.

    Media Contact:
    Dan Moshkovich
    VP Marketing
    danm@chargeflow.io

    The MIL Network

  • MIL-OSI: Šiaulių Bankas Group Results for the Year 2024

    Source: GlobeNewswire (MIL-OSI)

    • Financial targets. Šiaulių Bankas Group demonstrated strong performance and successfully achieved all its financial targets for 2024, delivering on its guidance
    • Profit. Šiaulių Bankas Group earned a record net profit of €78.8 million
    • Loan portfolio. The loan portfolio grew by 17% year-on-year to over €3.4 billion
    • Deposits. The deposit portfolio grew by 12% over the year to almost €3.6 billion at the end of 2024
    • Fee & commission income. Net fee and commission income grew by 44% year-on-year to over €29 million
    • Dividends. Šiaulių Bankas Group intends to propose a distribution of 50% of its 2024 net profit, or €0.061 dividend per share
    • Share buybacks. Will allocate up to 5% of the 2024 net profit for own share buybacks
    • Rebranding. A rebranding of Šiaulių Bankas will be proposed for the upcoming shareholders’ meeting

    “In 2024, we have successfully integrated INVL’s retail business into Šiaulių Bankas Group, updated our long-term vision and strategy, and initiated a business transformation that we believe will bring greater value to our customers, shareholders, and society.

    While launching strategic projects such as the replacement of the core banking platform and rebranding preparation, we maintained high profitability and service quality, effectively managing risk and costs.

    The successful implementation of our first international bond issuances and the updated dividend policy demonstrate our commitment to efficient capital utilization and delivering high returns to shareholders during the transformation period,” says Vytautas Sinius, CEO of Šiaulių Bankas.

    Šiaulių Bankas Group earned an unaudited net profit of €78.8 million in 2024 which is 5% more than in 2023. Operating profit before allowance for impairment losses and income tax amounted to €107.3 million, a 3% decrease compared to operating profit of €111.0 million in 2023.

    Net interest income grew by 2% year-on-year to €160.2 million, while net fee and commission income grew by 44% to over €29 million. The latter increased 11% in the last quarter of 2024 alone, compared to Q3 2024.

    All loan book segments grew during the year, with the total loan portfolio increasing by 17% (€503 million) to €3.43 billion. New credit agreements worth €1.5 billion were signed during the year, 14% more than in 2023 (€1.3 billion).

    The quality of the loan portfolio remains strong, with provisions of €11.3 million made in 2024, €4 million less than in 2023. The Cost of Risk (CoR) of the loan portfolio for year 2024 was 0.35% (0.54% for the 2023).

    The deposit portfolio grew by 12% since the beginning of the year (€383 million) and exceeded €3.5 billion at the end of the year. The amount of term deposits grew by 22% (€348 million) to over €1.9 billion during the year and their share in the total deposit portfolio increased by 5 percentage points to 54%.

    The bank’s capital structure was enhanced by an additional issue of Tier 1 (AT1) bonds of €50 million in the fourth quarter. All issuances made in 2024 have significantly strengthened and diversified the capital base, which allows for continued rapid growth while ensuring high returns for investors.

    The Bank’s Management Board, taking into the account the updated dividend policy, the bank’s strong performance in 2024, its robust capital position, and the favourable outlook for the operating environment, has decided to propose a dividend of 50% of the 2024 net profit (€0.061 per share) for approval at the Bank’s Annual General Meeting.

    Šiaulių Bankas has repurchased own shares worth €10.2 million and is planning to continue with buyback programmes, in line with the existing the European Central Bank’s (ECB’s) authorisation granted on 15th August 2024. The bank will also propose to allocate up to 5% of its 2024 net profit for the share buybacks for the capital reduction purpose, and to grant shares as part of the deferred variable remuneration for the employees of the Šiaulių Bankas Group.

    The group’s cost/income ratio (C/I) was 49.0%1 (41.2%1 in 2023) and the return on equity (RoE) was 14.0% (15.5% in 2023) at the end of the year. The capital and liquidity position remained strong and prudential ratios are being met by a wide margin. The capital adequacy ratio (CAR) stood at 22.8%2 and the liquidity coverage ratio (LCR) at 232%2.

    Income Statement (€’m) FY2024 FY2023 % ∆
           
    Net Interest Income 160.2 156.9 2%
    Net Fee & Commission Income 29.1 20.3 44%
    Other Income 34.4 19.3 78%
    Total Revenue 223.7 196.5 14%
           
    Salaries and Related Expenses (49.5) (36.2) 37%
    Other Operating Expenses (66.9) (49.3) 36%
    Total Operating Expenses (116.4) (85.5) 36%
           
    Operating Profit 107.3 111.0 (3%)
    Allowance for Impairment Losses (10.9) (15.2) (28%)
    Income Tax Expense (17.7) (20.4) (13%)
           
    Net Profit 78.8 75.4 5%
           
    Balance Sheet Metrics (€’m) Dec 2024 Dec 2023 % ∆
           
    Loans 3 435 2 932 17%
    Total Assets 4 923 4 808 2%
    Deposits 3 561 3 178 12%
    Equity 585 543 8%
           
    Assets under Management3 1,977 1,556 27%
    Assets under Custody 1,936 1,943 0%
           
    Key Ratios FY2024 FY2023
           
    Net Interest Margin (NIM) 3.3% 4.2% -93bps
    Cost-to-Income ratio (C/I)1 49.0% 41.2% +779bps
    Return on Equity (RoE) 14.0% 15.5% -146bps
    Cost of Risk (CoR) 0.3% 0.5% -19bps
    Capital Adequacy Ratio (CAR)2 22.8% 22.4% +36bps
             

    Overview of Business Segments

    Corporate Client Segment

    Šiaulių Bankas has significantly increased the volume of corporate financing over the year – in 12 months new corporate financing agreements worth of €960 million were signed in 2024, 29% increase compared to previous year. In the 2024 the portfolio has grown by 20% (€308 million) to over €1.8 billion. Growth has been well-diversified across several strategic sectors, including manufacturing, retail, and renewable energy. A favourable business environment has encouraged investment and created additional opportunities for expansion.

    Šiaulių Bankas continued its commitments to promote sustainability and signed amendments to the Pre-financing and Contingent loan agreements with the European Investment Bank (EIB) concluded in 2016 to increase the Bank’s investment up to €255 million from €195 million – to finance the modernization programme of multi-apartment buildings in Lithuania.

    Private Client Segment

    In 2024, Šiaulių Bankas has successfully implemented key strategic initiatives that strengthened its market position and ensured sustainable growth. The successful integration of INVL retail business was a major accomplishment, which enabled the bank to expand its service offering and provide customers with even more opportunities. The implementation of new core banking platform is on track, promising a greater efficiency and an improves customer experience.

    To strengthen its image and further meet the expectations of its customers, Šiaulių Bankas has also started preparations for the rebranding. A rebranding of Šiaulių Bankas will be proposed for the upcoming shareholders’ meeting.

    The volume of new mortgage contracts in 2024 increased by 21% year-on-year to €213 million. In 2024 the mortgage portfolio has grown by 17% (€136 million) reaching €0.9 billion. The volume of new consumer loan contracts increased by 5% year-on-year to €232 million. Since the beginning of 2024, the consumer loan portfolio has grown by 19% (€57 million) to over €0.35 billion.

    Investment Client Segment

    The bank has remained active in the local corporate bond market, originating €42 million in corporate bonds across 10 issuances for its clients in Q4 2024. Total corporate bond issuance for the year reached €227 million. According to Nasdaq Baltics, Šiaulių Bankas is leading security issuer in Lithuania and the Baltic States and maintains the largest share of securities trading on the Lithuanian stock exchange.

    Šiaulių Bankas demonstrated strong performance in asset management business in 2024. Client assets under management (AuM) reached €1.46 billion and grew by €277 million year-on-year. Growth was driven by new client investment flows and investment performance. In 2024, Šiaulių Bankas asset management company, earned €164.4 million for Tier II pension fund clients and €19.8 million for Tier III clients. In total, the profit generated for clients during the year was €184.2 million.

    SB Alternative Investment Fund III, providing new investment opportunities for Lithuanian retail investors, has enjoyed a successful launch, attracting over €6 million in 2024. Distribution of units of the investment fund is ongoing.

    The Life Insurance segment also showed steady growth, Risk Under Management (RUM) reaching EUR 1.7 billion in the fourth quarter, EUR 174 million more than a year ago.

    1after eliminating the impact of the client portfolio of SB Draudimas
    2preliminary data
    3includes Asset Management and Modernisation Funds AuM

    Šiaulių Bankas invites shareholders, investors, analysts and all interested parties to a webinar presentation of the financial results and highlights for the 2024. The webinar will start on 27 February 2025 at 8.30 am (EET). The webinar will be held in English. Please register here. Please find attached the information that will be presented at the webinar.

    If you would like to receive Šiaulių Bankas’ news for investors directly to your inbox, subscribe to our newsletter.

    Additional information:
    Tomas Varenbergas
    Head of Investment Management Division
    tomas.varenbergas@sb.lt

    Attachments

    The MIL Network

  • MIL-OSI: Bridgetown Research raises $19M from Lightspeed and Accel to deploy AI business research agents

    Source: GlobeNewswire (MIL-OSI)

    Seattle, Feb. 26, 2025 (GLOBE NEWSWIRE) — Strategic business decisions have traditionally been expensive and slow for a fundamental reason: they don’t happen enough. This means companies lack both historical data to learn from and experts who have seen enough similar cases. Bridgetown Research is changing that. Today, the AI decision science startup announced $19 million in Series A funding led by Lightspeed and Accel, with participation from a leading research university.

    Bridgetown Research has developed AI agents that autonomously execute research. Most notable amongst these agents are voice bots trained to recruit and interview industry experts, gathering primary data that can be analyzed alongside alternative data sourced from their partners. 

    Bridgetown Research founder Harsh Sahai.

    Founded by Harsh Sahai, who previously led machine learning teams at Amazon before leading strategy engagements at McKinsey & Co., Bridgetown Research was born from a simple observation: the majority of business analyses are a permutation of a small number of automatable tasks. The founding team, comprising former professionals from McKinsey, Bain, Amazon, and leading tech startups, brings together extensive experience across strategy consulting and technology.

    “We are excited to be a catalyst for change. We are working with multiple private equity firms, management consulting firms, and corporate teams to help make strategic decisions better and faster. This in turn is driving up demand for advisory and information services downstream. We enable $10+ of advisory and information services revenue for every $1 we make. Together with leading institutions, we’re building something bigger than ourselves—an ecosystem where everyone thrives,” commented Harsh Sahai, CEO & founder of Bridgetown Research.

    While many AI solutions focus on searching and summarizing information using LLMs, real world business decisions require much more than synthesising the open web. They need proprietary data such as primary data from experts and customer surveys, along with frameworks to understand markets, what Harsh Sahai calls “ontologies”. Moreover, outputs need to be repeatable and auditable for a business to use them to make decisions with tens of millions of dollars at stake. Bridgetown Research is the only player using agents to gather primary data and systematically find patterns in it to generate original insights. 

    Bridgetown Research: (L to R) Founder Harsh Sahai with Director of Engineering Mohak Singh. 

    “AI is causing widespread disruptions across many enterprise functions, and Bridgetown Research is riding that wave by assisting executives in making important strategic decisions. We are pleased to see Bridgetown serving several marquee customers, with users likening its platform to having a team of top-tier consultants at their fingertips. We are excited to partner with Harsh, who, with his background as an ace AI research scientist turned management consultant, blends a unique combination of skills and insight needed to imagine this whole new category of applied AI,” said Anagh Prasad, Investor at Accel.

    Bridgetown Research started with a focus on private equity deal screening diligence. Multiple top-tier PE & VC firms already use Bridgetown Research for deal screening and deeper commercial diligence. They’re able to screen their pipeline much faster with initial analysis taking 24 hours instead of weeks without Bridgetown enabling teams to focus on actual decision making instead of research and analysis. For other customers Bridgetown has enabled voice of customer conversations that cover hundreds of respondents in parallel, and within days. 

    Ishaan Preet Singh, Investor at Lightspeed added “Companies are built on the quality of strategic decisions, and the research and analysis behind it. Bridgetown Research enables the smartest executives and investors to make these decisions with an order of magnitude more information, and at a pace that was earlier impossible. Harsh and Bridgetown are already creating immense value for their customers, but are still just scratching the surface of the leverage that AI can create.”

    As global markets become increasingly complex, the demand for efficient and effective decision-making tools continues to rise. With this funding round, Bridgetown Research plans to invest further in training its AI agents to perform a broader set of analyses across a broader range of domains, and deepening industry partnerships to enhance access to domain-specific intelligence.

    Ends

    Media images can be found here

    About Bridgetown Research
    Bridgetown Research builds AI agents for decision research. Its voice agents and web crawlers find and clean data, while its analyses agents produce repeatable, auditable, and reliable analyses. The team consists of computer scientists, econometricians, software engineers, investors and business consultants, working across geographies. For more information please visit https://www.bridgetownresearch.com/ 

    About Accel 
    Accel is a global venture capital firm that aims to be the first partner to exceptional teams everywhere (Facebook, Flipkart, etc.), from inception through all phases of private company growth. Accel has been operating in India since 2008, and its investments include companies like BookMyShow, Browserstack, Flipkart, Freshworks, FalconX, Infra.Market, Chargebee, Clevertap, Cure Fit, Musigma, Moneyview, Mensa Brands, Myntra, Moglix, Ninjacart, Swiggy, Stanza Living, Urban Company, Zetwerk, and Zenoti, among many others. We help ambitious entrepreneurs build iconic global businesses. For more, visit: www.accel.com

    About Lightspeed
    Lightspeed is a global multi-stage venture capital firm focused on accelerating disruptive innovations and trends in the Enterprise, Consumer, Health, and Fintech sectors. Over the past two decades, the Lightspeed team has backed hundreds of entrepreneurs and helped build more than 500 companies globally including Affirm, Acceldata, Carta, Cato Networks, Darwinbox, Epic Games, Faire, Innovaccer, Guardant Health, Mulesoft, Navan, Netskope, Nutanix, Physics Wallah, Razorpay, Rubrik, Sharechat, Snap, OYO Rooms, Ultima Genomics, Zepto and more. Lightspeed and its global team currently manage $25B in AUM across the Lightspeed platform, with investment professionals and advisors in the U.S., Europe, India, Israel, and Southeast Asia. www.lsip.com

    The MIL Network

  • MIL-OSI: Scality sees record channel partner and revenue growth as demand for cyber-resilient storage soars

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, Feb. 26, 2025 (GLOBE NEWSWIRE) — Scality, a global leader in cyber-resilient storage software for the AI era, today announced significant growth of its global partner ecosystem, which has doubled in size year-over-year. A channel-first strategy fueled Scality’s exceptional growth rate, with Q4 2024 alone seeing a record breaking 60% of sales driven by the VAR community. Scality’s VAR channel is now the top driver of sales for the ARTESCA product line, augmenting the continued strong business growth seen through its strategic alliance with HPE. Coinciding with this impressive channel growth, Scality also announced winners of its second annual 2024 Partner Awards Program (listed below) that recognizes partners in global regions that have demonstrated outstanding promise and customer engagement.

    The Scality global partner ecosystem includes a range of VARs, Cloud and Service Providers, hardware alliance, application solution providers and strategic distributors committed to delivering industry-leading, cyber-resilient storage backup solutions to customers worldwide. The unprecedented growth of the company is 100% directly driven by its partner go-to-market strategy, which includes strategic partners such as HPE and Veeam Software, and now sees the VAR ecosystem playing a more prominent role in the company’s growth.

    “Our partners are essential to our success, and we’re committed to helping them grow by unlocking new revenue streams,” said Eric LeBlanc, Channel Chief & GM of Scality’s ARTESCA Business. “With 400+ channel partners and over 1,000 Scality certified partner personnel worldwide, we empower them through innovation, simplicity, and partner-focused solutions. Partners can sell both RING and ARTESCA, with ARTESCA specifically driving a high-velocity sales model for simple ransomware protection through industry leaders like Veeam, making it easier to drive incremental revenue and pipeline growth.”

    Scality partner milestones that contributed to doubling the company’s qualified pipeline which resulted in record sales in 2024 include:

    • The number of certified partners doubled in EMEA and APAC, significantly expanding the company’s global reach.
    • Signed 3 of the top worldwide distribution partners, including Ingram Micro, TD SYNNEX, and Arrow Electronics to bolster market presence.
    • The launch of the ARTESCA hardware appliance and the introduction of a Pay-As-You-Go pricing model through distribution created new revenue stream opportunities for partners. The Scality Cloud and Service Provider (SCSP) program allows partners to submit monthly consumption reports to Scality, enabling automated invoicing and streamlined agreements. Distribution partners operate this model seamlessly, ensuring efficiency.

    Scality expands ‘channel partner of the year’ honors in 2024
    To showcase the exceptional results achieved by partners, Scality also announced winners of its second annual global partner awards program. Building on last year’s initiative that honored 10 global partners, this year’s winners showcase 22 out of more than 400 worldwide partners as either a Top Performer or Rising Star Award winner this year. The expanded list of partner winners this year reflects the explosive growth of the company’s partner network. Ten partners were named as 2024 Top Performers, demonstrating their strategic alignment to Scality’s go-to-market objectives and resulted in direct contribution to revenue growth through successful sales engagements. These partners also helped customers go beyond immutability to achieve end-to-end cyber resilience with their backup storage solution. Twelve partners received the 2024 Rising Star nod, showcasing an exceptional commitment to growth and innovation. These partners also implemented effective marketing campaigns that drove growth in sales engagement. Please see the full list of Scality’s 2024 Partner Award winners below and here on LinkedIn.

    Scality is the only 100% software-defined storage company leading the Gartner Magic Quadrant for distributed file systems and object storage for nine consecutive years. Scality RING was recently ranked as #1 on the 2024 GigaOm Radar for Enterprise Object Storage — achieving the highest scores across Key Features, Emerging Features and Business Criteria categories, well ahead of 17 competing vendors. This market validation, coupled with Scality’s disruptive product innovation and partner-first growth strategy, has accelerated Scality solutions’ deployment, anchored by a growing list of global distribution partners and across a variety of industries, including banking, healthcare and government entities to name a few.

    Scality Partner of the Year Award Winners

    Top Performers
            ACP Gruppe
            ATK (Kazakhstan)
            Bechtle Schweiz AG
            C-DATA
            CONVERGE S.r.l.
            DTP Group
            MONT Azerbaijan
            M2 Technology Inc.
            Perfekt Pty Ltd
            Trustteam Belgium

    Rising Stars
            Autodata
            Infinitum S.A.
            Infradax
            IT Global
            NetPlans GmbH
            Novulutions, Inc.
            ODB Trade
            Roseware Corp.
            Savaco
            TeraSky
            Thein Digital s.r.o
            Virtualflex Solutions Limited

    https://www.scality.com/find-a-channel-partner/

    About Scality
    Scality solves organizations’ biggest data storage challenges for the new AI-era — security, performance, and cost. Designed to provide the strongest form of immutability plus end-to-end cyber resilience, Scality solutions safeguard data at five core levels for unbreakable ransomware protection. Delivering utmost resilience, Scality makes storage infrastructures limitlessly scalable in all critical dimensions. The world’s most discerning companies trust Scality so they can grow faster and execute AI data-driven ideas quicker — while increasing efficiency and avoiding lock-in. Scality S3 object storage software is reliable, secure and sustainable. Follow us on LinkedIn. Visit www.scality.com and our blog.

    Media Contact:
    Lisa Williams
    A3 Communications
    +1 339-788-0067
    lisa.williams@a3communicationspr.com

    The MIL Network

  • MIL-OSI United Kingdom: HSBC Leader Encourages York Businesses to embrace ‘Fourth Industrial Revolution’

    Source: City of York

    HSBC UK’s Head of Technology Sector has encouraged York businesses to adapt to thrive in the climate of ‘functional disruptive change’ represented by the rapid development of AI.

    In his keynote address to over 60 businesses at the first York Tech Forum on 13 February, Roland Emmans from HSBC UK explored the fast-moving tech landscape and underlined the importance for businesses of all shapes and sizes of keeping pace with rapid technological change.

    Roland Emmans said:

    AI has vast potential to help businesses solve challenges and serve their customers better. The pace of change is increasing day by day, we need to embrace this change, its impact on technology, our teams and consumer demands.

    “A combination of great technology and great people is key – leveraging complementary strengths like AI’s processing power alongside expert human judgement.”

    The event, held at City of York Council’s West Offices headquarters on Thursday 13 February, began with a welcome from Cllr Pete Kilbane, the council’s portfolio holder for Economy and Culture, who reflected on how York’s tech sector has thrived in recent years.

    Cllr Kilbane highlighted major local developments, from the Institute for Safe Autonomy, a £45 million purpose-built facility which launched at the University of York in 2023, to the 6G Lab of the North, which works with the next generation of innovative telecommunications systems.

    Attendees also heard from Doug Winters, Founder and CTO of Isotoma Ltd, a York-based software development agency. Doug shared challenges and lessons from his business’ 20 year-journey, advising businesses that AI technologies, while useful for businesses, need to be used according to the situation, and are not a ‘silver bullet’ Doug also shared tips on the value of continuous planning throughout a project. 

    Cllr Pete Kilbane, Executive Member for Economy and Culture at City of York Council, said:

    We have big ambitions for York as a vibrant tech hub. Tech sector investment will bring well-paid jobs and marked economic benefits.

    “To truly embrace the benefits of rapid technological change, we need to help businesses in all sectors, from retail to rail, adapt to using technology to become more efficient, innovative, resilient and sustainable. This event is part of a series which includes our upcoming AI skills training for retail and hospitality businesses, delivered by our partners at the Coders Guild, and the Reignite events which have bolstered York’s status as a UNESCO City of Media Arts.

    “I’d like to thank all of our speakers and everyone who joined us for this inspiring and thought-provoking session. To find out more about how we can support businesses to grow and adapt to technological change, start a conversation with our Business Growth Managers at economicgrowth@york.gov.uk.”

    This event was funded by the UK government through the UK Shared Prosperity Fund.

    MIL OSI United Kingdom

  • MIL-OSI: Freename partners with Chiliz: .CHZ Domains Are Here

    Source: GlobeNewswire (MIL-OSI)

    Zurich, Switzerland, Feb. 26, 2025 (GLOBE NEWSWIRE) — Freename is pleased to announce a strategic partnership with Chiliz, a leading blockchain platform for sports and fan engagement. Through this collaboration, Freename has launched .CHZ domains, offering exclusive benefits to CHZ stakers and Scoville NFT holders.

    This partnership represents a significant step in expanding the Web3 ecosystem, providing blockchain and sports enthusiasts with the opportunity to establish their digital identities. Additionally, it creates new avenues for a broader audience—including cryptocurrency users, digital creators, resellers, and investors—to engage with a highly secure Ethereum-powered environment, interact with on-chain decentralized applications (dApps), and seamlessly exchange ERC-20 tokens.

    The First Sport-Focused Top-Level Domain  

    Arguably, .CHZ is an eagerly awaited domain where sports fans can create unique digital identities and build a highly secure sports community. “Sports enthusiasts, fans, and Web3 users need digital identities that reflect their passion and establish their presence in the digital world,” said Gherardo Varani, Head of Business Development at Freename.

    This Freename–Chiliz partnership aims to set the tone for sports enthusiasts who want to stay updated on their favorite sports. With the integration of Chiliz—the leading blockchain for sports and fan engagement—this vision is becoming a reality. In addition to incorporating the Chiliz blockchain into its portfolio, Freename has launched the first-ever sport-focused TLD, .CHZ, which is expected to attract thousands of fans to the Chiliz network.

    Beyond sports, .CHZ will also appeal to individuals exploring the decentralized space, offering them new opportunities to engage. “.CHZ is the first sport-focused top-level domain, built for those who live and breathe sports—whether as fans, collectors, or digital creators,” Gherardo added.

    Exclusive Benefits of Minting .CHZ Domains

    The basic purpose of the .CHZ domains is to provide custom Web3 identities for the Chiliz community, crypto users, and domain investors. Ensuring maximum value for your purchases, Freename provides exceptional discounts and benefits on the acquisition of .CHZ TLDs and domains

    These benefits are specifically meant for Chiliz network users, including CHZ stakers and Scoville NFT holders.

    For CHZ Stakers

    If you’re already minting on the Chiliz blockchain, the .CHZ domains will diversify your portfolio. Oftentimes, these domains can be resold at much higher prices in the future.  

    CHZ stakers can save more on buying .CHZ domains from Freename. To qualify for this offer, you must have a staking balance of 1,000 CHZ or more. 

    Qualified users can get a discount between $30 – $100 and a free-of-cost renewal for up to five years (based on your staking balance).  

    • If you’re staking between 1,000 and 10,000 CHZ, you will receive a 2-year domain renewal along with a $30 coupon.  
    • Those staking in the 10,001 – 50,000 CHZ bracket will receive a $75 coupon and a 3-year domain renewal
    • And if you’re staking above 50,000 CHZ, you will receive a $100 coupon with a 5-year domain renewal upon checkout.

    Simply verify your status at checkout and claim your reward.

    Scoville NFT Holders

    Scoville NFT Holders can integrate .CHZ domains into their digital wallet or link their NFT collection, leveraging them in more ways than one. They can also transfer domains minted on other blockchains to the Chiliz blockchain. 

    For Scoville NFT holders, Freename offers $10 off on buying the .CHZ domains. Adding more to savings, these domains come with 2-year domain renewal.

    The Chiliz Chain

    Chiliz Chain is a stand-alone, layer-1, EVM compatible blockchain that leverages a Proof of Staked Authority (PoSA) mechanism. This mechanism grants authority through staking tokens.

    Over the years, the blockchain has been used to mint Fan Tokens for popular teams like Paris Saint-Germain FC, Juventus. You can also find Fan Tokens related to Motorsports, Tennis, European Football, and more!

    At present, the blockchain boasts more than 70 officially licensed Fan Tokens, serving more than 2 million Fan Token wallets across the globe. 

    What You Can Do with Your .CHZ Domain

    The .CHZ domain is your gateway to the decentralized webspace. You can get access to millions of users via Chiliz Fan Tokens and scale your business. You can also feature your dApps on chain and expand your growth quickly. 

    Some of the major benefits of the .CHZ domain are listed below:

    Name Your Wallet with Your Favorite .CHZ Domain

    You can choose a relevant .CHZ domain name and integrate it into your wallet to give it a unique, concise and memorable identity. Instead of the long string address, a wallet with a unique name is far easier to remember, helping other users to locate you easily.  

    Use It as Your Main Digital Identity

    You can integrate a single .CHZ domain to multiple digital identities, including NFTs, Smart Contracts, Tokens and Metaverse real estate. Not only will it help you manage your portfolio, but also maximize your assets’ security.

    Send and Receive Crypto Payments

    Your .CHZ domain can also serve you in sending and receiving crypto payments without intermediaries. In addition to the robust security powered by PoSA mechanism, you get a high level of privacy provided by your .CHZ domain.

    Set Custom Records for Multi-chain Compatibility

    Your .CHZ domains are capable of storing any form of digital assets, be it coins, tokens, or NFTs. Moreover, these domains offer multi-chain compatibility, enabling you to set custom records across different blockchains.  

    Build and Browse Web3 Websites

    Last but not the least, your .CHZ domain, like other decentralized domains, will serve the basic purpose of building web3 sites. That’s right, you can create a website, online store, or portal similar to the web2 space, allowing visitors to surf through your content and buy your products or services. 

    Buy Your .CHZ Domain Now!

    By integrating the leading sport-focused blockchain into its portfolio, Freename offers you a lucrative opportunity to connect with millions of sports fans. Whether you’re a developer, data analyst, designer or a die-hard sports fan, you can get access to the blockchain ecosystem using your .CHZ domain. Join the web3 bandwagon today and Buy Your Web3 Domain!

    Disclaimer: The information provided in this press release is not a solicitation for investment, nor is it intended as investment advice, financial advice, or trading advice. It is strongly recommended you practice due diligence, including consultation with a professional financial advisor, before investing in or trading cryptocurrency and securities.

    The MIL Network

  • MIL-OSI: SINTX Technologies Announces $5 Million Private Placement Priced At-the-Market under Nasdaq Rules

    Source: GlobeNewswire (MIL-OSI)

    Salt Lake City, Utah, Feb. 26, 2025 (GLOBE NEWSWIRE) — SINTX Technologies, Inc., (“SINTX” or the “Company”) (Nasdaq: SINT), a leader in advanced ceramics for medical applications, today announced that it has, pursuant to a securities purchase agreement with institutional and accredited investors dated February 20, 2025, issued and sold 1,449,287 shares of common stock (or pre-funded warrants in lieu therof) at a purchase price of $3.45 per share (or pre-funded warrant in lieu thereof) in a private placement priced at-the-market under Nasdaq rules. In addition, the Company issued to the investors in the offering unregistered warrants (the “warrants”) to purchase up to an aggregate of 1,449,287 shares of common stock. The warrants are exercisable immediately at an exercise price of $3.32 per share and will expire five and one-half years from the date of issuance. The offering closed on February 25, 2025.

    H.C. Wainwright & Co. acted as the exclusive placement agent for the offering.

    The aggregate gross proceeds to the Company from the private placement were approximately $5 million before deducting placement agent fees and other offering expenses payable by the Company. The Company intends to use the net proceeds from the offering for working capital purposes.

    The shares of common stock, pre-funded warrants and warrants described above were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Act”) and Regulation D promulgated thereunder and, along with the shares of common stock underlying the pre-funded warrants and warrants, have not been registered under the Act or applicable state securities laws. Accordingly, the shares of common stock, the pre-funded warrants, the warrants and the shares of common stock underlying the pre-funded warrants and warrants may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (“SEC”) or an applicable exemption from such registration requirements. The securities were offered only to accredited investors. Pursuant to a registration rights agreement, the Company has agreed to file one or more registration statements with the SEC covering the resale of the shares of common stock and the shares issuable upon exercise of the pre-funded warrants and warrants.

    This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

    About SINTX Technologies, Inc.

    Located in Salt Lake City, Utah, SINTX Technologies is an advanced ceramics company that develops and commercializes materials, components, and technologies for medical and technical applications. SINTX is a global leader in the research, development, and manufacturing of silicon nitride, and its products have been implanted in humans since 2008. Over the past several years, SINTX has utilized strategic acquisitions and alliances to enter into new markets.

    For more information on SINTX Technologies or its materials platform, visit www.sintx.com.

    Forward-Looking Statements

    This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to a number of risks and uncertainties. Forward-looking statements can be identified by words such as: “anticipate,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding the anticipated use of proceeds from offering. Readers are cautioned not to place undue reliance on the forward-looking statements, which speak only as of the date on which they are made and reflect management’s current estimates, projections, expectations and beliefs. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, difficulties in commercializing ceramic technologies and development of new product opportunities. A discussion of other risks and uncertainties that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements can be found in SINTX’s Risk Factors disclosure in its Annual Report on Form 10-K, filed with the SEC on March 27, 2024, and in SINTX’s other filings with the SEC. SINTX undertakes no obligation to publicly revise or update the forward-looking statements to reflect events or circumstances that arise after the date of this report, except as required by law.

    Business and Media Inquiries for SINTX:
    SINTX Technologies
    801.839.3502
    IR@sintx.com

    The MIL Network

  • MIL-OSI: Diamond Equity Research Initiates Coverage on ConnectM Technology Solutions, Inc. (NASDAQ: CNTM)

    Source: GlobeNewswire (MIL-OSI)

    New York, NY, Feb. 26, 2025 (GLOBE NEWSWIRE) — Diamond Equity Research, a leading equity research firm with a focus on small capitalization public companies has initiated coverage of ConnectM Technology Solutions, Inc. (NASDAQ: CNTM). The in-depth 32-page initiation report includes detailed information on the ConnectM Technology Solutions’ business model, services, industry overview, financials, valuation, management profile, and risks.

    The full research report is available below.

    ConnectM Technologies Inc. Initiation Report

    Highlights from the report include:            

                                      
    •    Diversified Innovative AI-Powered Platform Driving Scalable and Recurring Revenue Streams: At the core of ConnectM’s strategy lies its proprietary Energy Intelligence Network (EIN), which integrates AI-powered heat pumps, EV solutions, and distributed energy systems. The platform enables efficient cross-selling across diverse verticals, thereby enhancing customer lifetime value and lowering acquisition costs. This results in predictable, high-margin revenue streams derived from product sales, software subscriptions, and managed services agreements.

    •    Pioneering Leadership in the $2 Trillion Electrification Transformation: ConnectM is strategically positioned at the forefront of the global shift from fossil fuels to renewable energy, tapping into a $2 trillion electrification market. Its early mover advantage is strengthened by a robust 10-patent IP portfolio and over 120,000 connected assets that drive powerful network effects and data intelligence. This pioneering stance not only differentiates ConnectM but also establishes a solid foundation for sustainable long-term growth.

    •    Robust, Vertically Integrated Business Model Fueling Consistent High Growth: ConnectM has achieved 20 consecutive quarters of revenue growth, with a current run rate projected at $26 million and break-even cash flow expected by 2025. Its vertically integrated approach, encompassing product design, AI technology, and owned service networks, minimizes dependence on third-party providers. Moreover, a shared revenue model with service partners further amplifies potential profitability while mitigating operational risks.

    •    Strategic Acquisitions Accelerating Synergistic Market Expansion: The company has strategically augmented its market presence through targeted acquisitions, including MHz Invensys, projected to contribute $15 million in revenue by 2027. Additional acquisitions, such as DeliveryCircle and Green Energy Gains, have significantly strengthened its foothold in last-mile logistics and building electrification. This well-defined M&A pipeline is potentially set to unlock further synergistic growth opportunities across the smart energy solutions landscape.

    •    Solid Financial Foundations Supported by Strong Institutional Backing: ConnectM benefits from robust institutional support, with shareholders as of recent filings including Cowen, Geode Capital, Polar Asset, and Jane Street, while insiders hold a significant 33% stake. The company’s de-leveraged balance sheet, achieved by a recent conversion of $13.7 million in debt to equity, reinforces its financial resilience. Furthermore, the secured $25 million in strategic financing positions ConnectM for continued expansion and technological innovation.

    •    Capturing Exponential Growth Prospects Amid Robust Market Tailwinds: The electrification of buildings, transportation, and distributed energy systems is still in its early stages, offering substantial exponential growth potential. AI-powered heat pumps, a key component of the EIN, represent an opportunity comparable to the EV market but with superior potential margins of 30–40% and lower competition. These favorable market tailwinds are expected to drive sustained demand and accelerate ConnectM’s expansion trajectory.

    •    Valuation: ConnectM is targeting the $2 trillion energy transition with its AI-powered Energy Intelligence Network (EIN), optimizing electrification, distributed energy networks, and smart mobility. Its platform-driven strategy positions it for accelerated growth, operational efficiency, and sustained profitability. We have assessed ConnectM’s valuation using a blended approach, incorporating discounted cash flow (DCF) and comparable company analyses. Under our DCF approach, we assumed a 12.5% discount rate and a terminal growth rate of 1.5% to estimate the present value of projected free cash flows. For the comparable company analysis, we utilized the EV/Revenue multiple of similar renewable energy products and technology companies to establish a market-based valuation benchmark. By integrating both these approaches, we have arrived at a valuation of $3.25 per share contingent on successful execution by the company.

    About ConnectM Technology Solutions, Inc.  

    ConnectM Technology Solutions, Inc. is a vertically integrated holding company based in Marlborough, MA that provides digital platforms and services for electrification and decarbonization across the U.S., offering solutions for solar energy, HVAC, EV integration, and smart energy management.  

    About Diamond Equity Research

    Diamond Equity Research is a leading equity research and corporate access firm focused on small capitalization companies. Diamond Equity Research is an approved sell-side provider on major institutional investor platforms.

    For more information, visit https://www.diamondequityresearch.com

    Disclosures:

    Diamond Equity Research LLC is being compensated by ConnectM Technology Solutions, Inc. for producing research materials regarding ConnectM Technology Solutions, Inc. and its securities, which is meant to subsidize the high cost of creating the report and monitoring the security, however the views in the report reflect that of Diamond Equity Research. All payments are received upfront and are billed for research engagement. As of 02/26/25 the issuer had paid us $17,500 (as part of $35,000 annual contract payable in three upfront installment payments for the first year of coverage), which commenced on 01/30/25 with the second and third installment of $8,750 due in the following two three-months period. Diamond Equity Research LLC may be compensated for non-research related services, including presenting at Diamond Equity Research investment conferences, press releases and other additional services. The non-research related service cost is dependent on the company, but usually does not exceed $5,000. The issuer has not paid us for non-research related services as of 02/26/2025. Issuers are not required to engage us for these additional services. Additional fees may have accrued since then. Although Diamond Equity Research company sponsored reports are based on publicly available information and although no investment recommendations are made within our company sponsored research reports, given the small capitalization nature of the companies we cover we have adopted an internal trading procedure around the public companies by whom we are engaged, with investors able to find such policy on our website public disclosures page. This report and press release do not consider individual circumstances and does not take into consideration individual investor preferences. Statements within this report may constitute forward-looking statements, these statements involve many risk factors and general uncertainties around the business, industry, and macroeconomic environment. Investors need to be aware of the high degree of risk in small capitalization equities including the complete loss of their investment. Investors can find various risk factors in the initiation report and in the respective financial filings for ConnectM Technology Solutions, Inc. Please review initiation report attached for full disclosure page.  

    Attachment

    The MIL Network

  • MIL-OSI: Diamond Equity Research Releases Update Note on ProPhase Labs Inc. (NASDAQ: PRPH)

    Source: GlobeNewswire (MIL-OSI)

    New York, NY, Feb. 26, 2025 (GLOBE NEWSWIRE) — Diamond Equity Research, a leading equity research firm with a focus on small capitalization public companies has released an Update Note on ProPhase Labs Inc. (NASDAQ: PRPH). The update note includes information on ProPhase’s business model, services offered, industry outlook, financial results, management commentary, and risks.

    The update note is available below. 

    ProPhase Labs February 2025 Update Note

     

    Highlights from the note include:   

    • ProPhase Labs Accelerates Potential Liquidity Generation with $50M+ COVID-19 Receivable Recovery and Strategic Genomics Asset Sale: In a concerted effort to strengthen its financial position and catalyze immediate liquidity generation, ProPhase Labs has advanced two major initiatives designed to strengthen its balance sheet and drive long-term value creation. The company is aggressively pursuing the recovery of uncollected COVID-19 testing receivables through its collaboration with Crown Medical Collections. This initiative targets over $150 million in outstanding claims from more than 1,100 insurance companies, leveraging the mandates of the Cares Act, which require insurers to honor valid COVID-19 claims regardless of network or plan status. Crown Medical Collections, with a robust track record of recovering over $3 billion in claims, estimates that ProPhase could net in excess of $50 million, a figure that is notably more than triple the company’s current market capitalization, with material cash flows potentially commencing as early as mid-2025. Concurrently, the company is exploring strategic alternatives that include the potential sale of its high-value genomics assets, such as Nebula Genomics and DNA Complete, to further unlock immediate cash. Nebula Genomics, a leading direct-to-consumer whole genome sequencing provider with an extensive customer base of over 65,000 sequenced individuals, has recently seen market validation in its sector, reinforcing the asset’s strategic importance. By aligning these initiatives, ProPhase Labs aims to generate critical working capital, streamline its operational focus on core growth areas, and enhance its competitive positioning in the biotechnology, genomics, and consumer products space.
    • ProPhase Labs Appoints Stu Hollenshead as Chief Operating Officer to Drive Consumer Health Strategy: ProPhase Labs has announced the appointment of Stu Hollenshead as Chief Operating Officer, a key hire that highlights the company’s focus on expanding its consumer-centered health and wellness product portfolio. In his new role, Hollenshead will lead the company’s efforts to accelerate direct-to-consumer growth by leveraging his extensive expertise in subscription models, digital marketing, audience monetization, and strategic business development. His proven track record from previous positions at Barstool Sports, where he played an instrumental role in driving record revenue and audience expansion, positions him well to scale ProPhase Labs’ consumer initiatives. This appointment comes at a pivotal time as the company prepares to update shareholders on significant progress in its accounts receivables, explores strategic alternatives for assets such as Nebula Genomics and DNA Complete, and implements further cost-cutting measures. In addition, following the successful sale of Pharmaloz Manufacturing, the former COO has transitioned to a consulting role focused on advancing the BE-Smart esophageal cancer test, with additional validation efforts underway in collaboration with The Mayo Clinic. Hollenshead’s dual role at ProPhase Labs and as CEO of 10PM Curfew, a rapidly growing digital platform reaching over 70 million women, further demonstrates his ability to build scalable, consumer-first initiatives. Overall, his leadership is expected to enhance operational efficiency, unlock new revenue streams, and strengthen the company’s position as a leader in science-backed health solutions in an increasingly competitive wellness landscape.
    • ProPhase Labs Explores Telehealth Partnerships and Strengthens DTC Infrastructure to Drive Growth: ProPhase Labs outlined a series of strategic moves designed to capitalize on its direct-to-consumer multi-media expertise while expanding into telehealth partnerships for prescription drugs. Following the appointment of its new Chief Operating Officer, the company is now engaging with potential telehealth partners that operate extensive physician networks and offer prescription drug services. ProPhase plans to leverage its established marketing infrastructure, originally built to support healthcare OTC dietary supplements and genomics testing, in collaboration with 10PM Curfew to create a significant impact on growth. Additionally, the company dispelled rumors of an investment bank-led capital raise, clarifying that it is pursuing a revolving line of credit as interim financing until either a sale of Nebula Genomics is completed or new litigation-driven accounts receivable begin to generate cash, an initiative that could potentially net over $50 million by mid-year. ProPhase also expressed confidence in maintaining its NASDAQ listing, with anticipated inflows in the latter half of 2025 opening multiple pathways for the common stock to surpass $1 per share without the need for a reverse split.

    About ProPhase Labs Inc.

    ProPhase Labs, Inc. (Nasdaq: PRPH) is a diversified diagnostic, genomics, and biotech company seeking to leverage its CLIA lab services to provide whole genome sequencing and research directly to consumers and build a genomics database to be used for further research. The company also offers the ProPhase Supplements line of dietary supplements, which are distributed in food, drug, and retailer stores.

    About Diamond Equity Research

    Diamond Equity Research is a leading equity research and corporate access firm focused on small capitalization companies. Diamond Equity Research is an approved sell-side provider on major institutional investor platforms.

    For more information, visit https://www.diamondequityresearch.com.

    Disclosures:

    Diamond Equity Research LLC is being compensated by Prophase Labs Inc. for producing research materials regarding Prophase Labs Inc. and its securities, which is meant to subsidize the high cost of creating the report and monitoring the security, however the views in the report reflect that of Diamond Equity Research. All payments are received upfront and are billed for research engagement. As of 02/25/25 the issuer had paid us $112,500 for our research services which commenced 03/21/23, and is billed annually upfront, consisting of $35,000 for the annual subscription in the first year and $35,000 in the second year (in two $17,500 installments for six month consecutive periods paid upfront) and $2,500 for additional one-time research work for the first year coverage and $20,000 for a research report on a subsidiary of Prophase Labs Inc. and $20,000 for another research report on a subsidiary of Prophase Labs Inc. Diamond Equity Research LLC may be compensated for non- research related services, including presenting at Diamond Equity Research investment conferences, press releases and other additional services. The non-research related service cost is dependent on the company, but usually do not exceed $5,000. The issuer has paid us for non-research-related services as of 02/25/25 consisting of $2,500 for attending a virtual conference. Issuers are not required to engage us for these services. Although Diamond Equity Research company sponsored reports are based on publicly available information and although no investment recommendations are made within our company sponsored research reports, given the small capitalization nature of the companies we cover we have adopted an internal trading procedure around the public companies by whom we are engaged, with investors able to find such policy on our website public disclosures page. This report and press release do not consider individual circumstances and does not take into consideration individual investor preferences. Statements within this report may constitute forward-looking statements, these statements involve many risk factors and general uncertainties around the business, industry, and macroeconomic environment. Investors need to be aware of the high degree of risk in small capitalization equities including the complete loss of their investment. Investors can find various risk factors in the initiation report and in the respective financial filings for ProPhase Labs Inc. Please review report attached for full disclosure page. 

    Contact:
    Diamond Equity Research
    research@diamondequityresearch.com

    Attachment

    The MIL Network

  • MIL-OSI: January 2025: ELFA CapEx Finance Index Shows Demand Pulled Forward from Jan. to Dec.

    Source: GlobeNewswire (MIL-OSI)

    • FORECAST: Growth in new business volumes suggests durable goods orders will contract by 3.8% in January.
    • Total new business volume (NBV) rose by $9.3 billion seasonally adjusted, a decline of 17.8% from December to January among surveyed ELFA member companies.
    • NBV year-to-date contracted by 6.4% from 2023 to 2024 on a seasonally adjusted basis, and the year-over-year change declined by 10.6% on a non-seasonally adjusted basis.
    • Charge-offs (losses) dropped to 0.46%, the second decline in as many months.

    WASHINGTON, Feb. 26, 2025 (GLOBE NEWSWIRE) — “The latest CFI release showed that equipment demand was pulled forward from January to December, which caused volumes to underperform last month. Much of the overall decline came from the banking sector, which had a stellar yearend and a soft start to 2025. I expect conditions to normalize going forward, but risks to the outlook linger,” said Leigh Lytle, President and CEO at ELFA. “Global economic and political uncertainty remains elevated, which could weigh on equipment demand later this year as businesses decide to pause investment until tensions subside. As both aging receivables and charge-offs showed, the industry is well prepared for an extended period of uncertainty, or whatever else may be thrown its way in 2025.”

    New business volume growth dropped. NBV growth experienced its largest one-month drop on record, falling by 17.8% from December to January. While the percentage decline was sharp, the dollar amount of new business was only at its lowest since March 2023. New activity at banks and captives both experienced a monthly drop of more than 30%, while financing at independents grew by almost 9%. The dollar amount of new business was still above its monthly average from January through November of 2024, while new activity at captives declined to its lowest level since January 2017.

    Headcounts continue to decline. Employment in the equipment finance industry contracted for the third straight month, with the 12-month change dropping 3.5%. Employment at banks and captives continued to decline, while job gains at independents slowed.

    Credit approvals jump. The average credit approval rate increased to 75.9% in January, up 1.6 percentage points, the largest increase since October 2023. The rates for banks, captives, and independents all rose.

    Financial conditions remain healthy. Charge-offs dropped for the second consecutive month to 0.46%. The January decline brings the rate to just above levels experienced in the ten months prior to the November increase. Aging receivables over 30 days ticked up to 2.2% but remained low.

    “Despite macro-economic and political uncertainty, we anticipate companies will still look for creative financing solutions,” said Mitch Rice, CEO of Commercial Capital Company. “They’re seeking greater flexibility and simplified, frictionless processes to address their evolving needs. Recognizing this demand, the industry is undergoing a widespread focus on technological enhancement to deliver more efficient and effective solutions and services. We’re embracing this shift when it comes to process automation and utilizing artificial intelligence.”

    Industry Confidence
    The Monthly Confidence Index from ELFA’s affiliate, the Equipment Leasing & Finance Foundation, eased to 66.9 in February, as respondents grew slightly more pessimistic about conditions over the next four months.

    About ELFA’s CFI
    The CapEx Finance Index (CFI), formerly the Monthly Leasing and Finance Index (MLFI-25), is the only near-real-time index that reflects capex, or the volume of commercial equipment financed in the U.S. It is released monthly from Washington, D.C., one day before the U.S. Department of Commerce’s durable goods report. This financial indicator complements reports like the Institute for Supply Management Index, providing a comprehensive view of productive assets in the U.S. economy—equipment produced, acquired and financed. The CFI consists of two years of business activity data from 25 participating companies. For more details, including methodology and participants, visit www.elfaonline.org/CFI.

    About ELFA
    The Equipment Leasing and Finance Association (ELFA) represents financial services companies and manufacturers in the $1 trillion U.S. equipment finance sector. ELFA’s 575 member companies provide essential financing that helps businesses acquire the equipment they need to operate and grow. Learn how equipment finance contributes to businesses’ success, U.S. economic growth, manufacturing and jobs at www.elfaonline.org.

    Follow ELFA:
    X: @ELFAonline
    LinkedIn: https://www.linkedin.com/company/115191 

    Media/Press Contact: Catherine Lockwood, PR Manager, ELFA, catherine@360livemedia.com

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/2b1a6575-a70f-4708-933c-8bc9d27c716f

    The MIL Network

  • MIL-OSI Economics: Verizon infuses AI in the network, accelerates Open RAN innovation with multi-vendor RAN Intelligent Controller deployment

    Source: Verizon

    Headline: Verizon infuses AI in the network, accelerates Open RAN innovation with multi-vendor RAN Intelligent Controller deployment

    NEW YORK – Verizon, in collaboration with Samsung Electronics Co., Ltd. and Qualcomm Technologies, Inc., has successfully deployed multi-vendor RAN Intelligent Controller (RIC) functionality in its commercial network. This deployment marks a significant advancement in Open Radio Access Network (O-RAN) technology and demonstrates yet another way Artificial Intelligence (AI) is being used in Verizon’s network to drive operational efficiency and ensure Verizon customers are always connected to the very best network experience. In this first multi-vendor deployment, Verizon integrated Samsung’s AI-powered Energy Saving Manager (AI-ESM) with Qualcomm DragonwingTM RAN Automation Suite’s RIC to integrate energy efficiency into its network. 

    “Verizon has been driving innovation in and adoption of O-RAN throughout the industry because we believe an open and standardized network drives more competition, more innovation, and increased supplier diversity,” said Adam Koeppe, Senior Vice President of Network Technology, Strategy, and Planning at Verizon. “Expanding on our industry-leading success with deploying O-RAN compliant radios and distributed units throughout our network, the introduction of the RAN Intelligent Controller will allow for greater flexibility and control over network operations.”

    What is a RAN Intelligent Controller enabled by O-RAN

    The RAN Intelligent Controller (RIC) is a software-based component within a mobile network’s Radio Access Network (RAN) that uses artificial intelligence and automation to optimize network performance by making decisions based on network conditions. It’s a key part of the Open RAN architecture, enabling the integration of third-party applications to enhance network capabilities.

    “As the world moves toward a more interconnected future with 5G and beyond, the expectation for us is to deliver seamless, high-quality network experiences while managing the complexities of modern mobile networks,” continued Koeppe. “RAN Intelligent Control is emerging as a key enabler of efficient, adaptive, and scalable network operations and fits within our growing portfolio of automation and orchestration capabilities on the network.”

    The RIC controls applications that manage numerous functions on the network called rApps that leverage data and insights from the RAN to improve various aspects of mobile communication, such as coverage, capacity, efficiency and service quality. Historically, automation platforms have been developed and run by the same vendors providing proprietary hardware and software in a closed ecosystem. However, with the evolution of the RAN Intelligent Controller, they are now being developed independently of specific vendors and deployed on virtualized, open platforms. Verizon can now efficiently manage intelligent solutions and applications like rApps utilizing open interfaces and standardized protocols from standards bodies such as 3GPP and the O-RAN Alliance, allowing for more flexible and scalable network deployment and management.

    Enhancing Network Performance with AI-Powered Solutions

    In this first multi-vendor deployment, Verizon integrated Samsung’s AI-powered Energy Saving Manager (AI-ESM) with Qualcomm® Dragonwing RAN Intelligent Controller to integrate energy efficiency in its commercial network. The joint work demonstrated the operation of a multi-vendor ecosystem and resulted in energy savings.

    • Samsung’s AI-ESM enables Verizon to maximize network energy efficiency and facilitates a more sustainable approach without compromising network performance and user experience. It identifies various site environments, learns traffic patterns by location and time of day, and evaluates the extent of impact on network performance—helping to find the optimal threshold value.

      This solution automatically switches off cell or transmission paths within a cell site during periods of low traffic (when traffic load is below threshold value) to conserve power, and turns them back on when data traffic increases again (when traffic load reaches threshold value). By applying this, Verizon was able to achieve an energy savings gain of 15% on average, with a maximum of 35% per sector during low traffic periods in a variety of field tests.

    • The Qualcomm Dragonwing RAN Automation Suite builds programmability to enable a vendor-neutral rApp marketplace. The RAN Automation Suite DML (Data Management Layer) provides applications with RAN AI Services, including HNN (Hybrid Neural Network) and DNN (Deep Neural Network) technology, for AI-Driven RAN Management.

    “We believe that virtualization is the key to realizing the true benefits of AI. Samsung’s software-based vRAN provides the most optimal foundation to apply and utilize AI technology,” said Magnus Ojert, Senior Vice President & Head of US Networks Business, Samsung Electronics America. “Leveraging the large-scale vRAN network that Verizon and Samsung have built together, we will continue to maintain our competitive edge in the AI era, advancing AI-powered solutions to create a positive impact on the environment around the world.”

    “We are thrilled to extend our longstanding relationship with Verizon through this groundbreaking multi-vendor RAN Intelligent Controller deployment, leveraging the Qualcomm Dragonwing RAN Automation Suite,” said Ofir Zemer, VP, Product Management, Qualcomm Israel Ltd. “By enabling a vendor-neutral rApp marketplace, empowered by a set of RAN AI services, we are jointly fostering a diverse ecosystem and supporting a path of democratizing RAN AI.”

    Qualcomm and Qualcomm Edgewise are trademarks or registered trademarks of Qualcomm Incorporated. Qualcomm branded products are products of Qualcomm Technologies, Inc. and/or its subsidiaries.

    MIL OSI Economics

  • MIL-OSI United Kingdom: Trading Standards take action on illegal cigarettes

    Source: Scotland – Highland Council

    After receiving numerous complaints from businesses and the public, Highland Council Trading Standards has seized a significant quantity of illicit tobacco products from a retailer in the Highlands. This operation underlines the Council’s commitment to protecting consumers and supporting legitimate businesses.

    During a targeted inspection of several businesses, Trading Standards officers uncovered a substantial store of illicit tobacco products, including counterfeit cigarettes and hand-rolling tobacco. Some of the seized goods are pictured alongside Boo, the tobacco sniffer dog who assisted officers to find the concealed material.

    Trading Standards Manager, David MacKenzie commented, “This seizure highlights the persistent efforts of our Trading Standards team to combat the illegal tobacco trade. These products not only evade taxes but also pose serious health risks to Highland residents. We will continue to take robust action against those involved in such criminal activities.”

    It is a criminal offence under the Trade Marks Act to sell or have in your possession illicit goods which can result in a fine of up to £5000.

    Mr MacKenzie continued: “The sale of illicit tobacco undermines public health and safety, as these products often fail to meet regulatory standards.  Additionally, the illegal trade deprives the government of essential tax revenue, impacting public services and the wider community and reputable local businesses are adversely affected by the unfair competition”.

    Trading Standards works with HMRC under Operation CeCe to report illicit tobacco which fails to have the presence of unique identifiers as detailed in the Tobacco Products (Traceability and Security Features) Regulations 2019.  Where a tobacco product is found not to comply, this allows Trading Standards to refer this evidence to HMRC to consider applying a civil penalty called a sanction. For a first offence the maximum sanction is £10,000. See here for more information: https://www.gov.uk/government/news/stronger-powers-to-combat-illicit-tobacco-come-into-force

    Highland Council Trading Standards urges residents to remain vigilant and report any suspicious activities related to the sale of illicit cigarettes and tobacco. Information can be provided anonymously through the Trading Standards webpage – Report Counterfeit Goods https://self.highland.gov.uk/service/Report_counterfeit_goods

    Consumers can also report concerns and receive advice from Trading Standards partner agency Advice Direct Scotland on telephone 0808 164 6000 or at www.consumeradvice.scot

    Highland businesses can contact Trading Standards with specific queries on trading.standards@highland.gov.uk

    End of Release

    MIL OSI United Kingdom

  • MIL-OSI Asia-Pac: LCQ8:Promoting cooperation with the Belt and Road countries

    Source: Hong Kong Government special administrative region

    LCQ8:Promoting cooperation with the Belt and Road countries
    LCQ8:Promoting cooperation with the Belt and Road countries
    ***********************************************************

         Following is a question by the Hon Tang Fei and a written reply by the Secretary for Commerce and Economic Development, Mr Algernon Yau, in the Legislative Council today (February 26): Question:      It has been reported that in recent years, the Government has been actively promoting Hong Kong’s advantages as an international financial, trade and investment hub to the Belt and Road (B&R) countries, in particular the Middle East countries, and has signed a number of Memorandums of Understanding (MOUs) with the Middle East countries. In this connection, will the Government inform this Council: (1) of the number of MOUs signed between Hong Kong and the Middle East countries participating in the B&R Initiative (such as the United Arab Emirates, Saudi Arabia and Egypt) in the past three years, and set out the names of the countries, regions and relevant organizations which have signed the MOUs; (2) of the following information on the MOUs mentioned in (1): (i) the specific areas of cooperation covered, (ii) the current implementation situation, (iii) the specific assistance expected to be brought to Hong Kong’s economic development, and (iv) how to specifically implement the contents of such MOUs and ensure their effective implementation, so as to leverage their benefits to the fullest extent; and (3) whether it has plans to sign more MOUs or deepen the existing cooperation with the B&R countries, so as to attract more foreign direct investment, thereby enabling local enterprises to “go global” and consolidating Hong Kong’s role as a “super-connector”? Reply: President,      Hong Kong is an active participant, contributor and beneficiary of the Belt and Road Initiative (B&RI). We have been fully participating and contributing to the B&RI, utilising the role as a functional platform for the Belt and Road (B&R) and serving our role as a “super connector” and “super value-adder”. The Middle East region is a key area in the B&RI. The Government is committed to deepening the co-operation with B&R countries in the region through various measures.       In consultation with relevant bureaux, the consolidated reply to the Hon Tang Fei’s question is as follows: (1) and (2) The Government of the Hong Kong Special Administrative Region (HKSARG) and B&R countries in the Middle East region have signed Memoranda of Understandings (MOUs) for co-operation to help drive all round, multi field collaboration for mutual benefit to Hong Kong and the Middle East region, thereby laying a solid foundation for long-term exchange and co-operation. In the past three years, the HKSARG signed 11 MOUs with governments and related organisations in various B&R countries in the Middle East region (tabulated at Annex), with scope covering finance, investment promotion, legal, anti-corruption co-operation and customs co-operation. Relevant bureaux and departments of the HKSARG have been implementing and taking forward the related co-operation, and continue to maintain close contact with relevant governments and related organisations in B&R countries in the Middle East region, with a view to boosting the benefits of these co-operation.      In addition, the business sector and relevant organisations in Hong Kong have been actively engaging in co-operation and signing MOUs with various B&R countries in the Middle East region. These non-governmental MOUs are not covered at Annex. (3) The Government will continue to deepen the co-operation with B&R countries in the Middle East region through a range of measures, including: (a) Expanding economic and trade networks      The Government will continue to expand our economic and trade networks, with a view to facilitating Hong Kong enterprises and investors in expanding into the Middle East region markets and promoting the long-term economic development of Hong Kong. The Government established the Hong Kong Economic and Trade Office (ETO) in Dubai in October 2021 to strengthen Hong Kong’s economic and trade relations with trading partners in the region. The Government is following up on the establishment of an ETO in Riyadh, Saudi Arabia, while Invest Hong Kong (InvestHK) set up a consultant office in Cairo, Egypt in July 2024 and commenced operation of its consultant office in Izmir, Türkiye’s third largest city, in January this year to explore emerging markets in the region; (b) Negotiating and signing bilateral agreements      Hong Kong has signed 24 Investment Promotion and Protection Agreements (IPPAs) with 33 overseas economies (including B&R economies), including Bahrain, Kuwait, Türkiye and the United Arab Emirates (UAE). The Government is negotiating an IPPA with Saudi Arabia with a view to concluding the negotiations as soon as possible. We also plan to commence negotiations with Egypt. In addition, Hong Kong has signed Comprehensive Avoidance of Double Taxation Agreements with 49 overseas jurisdictions (including B&R jurisdictions), including Bahrain, Kuwait, Qatar, and Türkiye; (c) Organising outbound visits      In February 2023, the Chief Executive led an over 30-strong high-level business delegation, comprising representatives of the Government and the business sectors as well as professionals, to visit the Middle East region, promoting the unique advantages of Hong Kong to local government and business sectors in Saudi Arabia and the UAE;       In May 2024, the Secretary for Justice led a delegation comprising representatives from the Law Society of Hong Kong, the Hong Kong Bar Association, the Hong Kong Exchanges and Clearing Limited, InvestHK and related sectors to visit Saudi Arabia and the UAE to promote Hong Kong’s legal and dispute resolution services and enhance co-operation and exchanges between Hong Kong and the Middle East region;      In October 2024, the Financial Secretary led a business delegation of over 100 members, including representatives from the finance as well as innovation and technology (I&T) sectors, on a visit to Saudi Arabia. This visit aimed to strengthen and deepen connections between Hong Kong and the Middle East in trade, finance, and I&T, and included participation in the 8th Future Investment Initiative (FII) Conference. The visit yielded fruitful results, facilitated a number of joint projects, including the listing of two exchange-traded funds tracking Hong Kong stocks in the local market, investment pitches by over 20 Hong Kong startups during the FII Conference, and 11 co-operation agreements signed between Hong Kong institutions and companies and their Saudi counterparts. These co-operation agreements include an MOU signed by the Hong Kong Monetary Authority and the Public Investment Fund of Saudi Arabia to jointly establish a US$1 billion investment fund focused on investing in companies connected to Hong Kong and the Guangdong-Hong Kong-Macao Greater Bay Area engaged in sectors such as manufacturing, renewable energy, fintech and healthcare, to expand in Saudi Arabia. This initiative will provide a platform for these companies to expand their international business. Additionally, the Hong Kong Science and Technology Parks Corporation signed a co-operation agreement with the FII Institute to enhance collaboration, exchange, and knowledge sharing;      The Government will continue to organise a number of outbound missions to markets in the Middle East region to assist Hong Kong enterprises and professional services to further expand business opportunities and build long-lasting collaborative relationships with relevant local enterprises and organisations; and (d) Organising major events      The Commerce and Economic Development Bureau will continue to actively organise various major events to promote Hong Kong’s advantages and facilitate business matching and project participation between Hong Kong and the Middle East region. In April 2024, the Belt and Road Office (BRO) partnered with NEOM of Saudi Arabia to organise the “Discover NEOM Hong Kong” roadshow, which attracted around 1 100 participants, including enterprises, investors and professional representatives from the Mainland and Hong Kong. During the roadshow, the BRO organised two business matching sessions, facilitating potential collaborations between 40 Hong Kong and Mainland enterprises and NEOM. Hong Kong has been organising the Belt and Road Summit (Summit) annually since 2016, and the Summit has been recognised by our country as a case of significance for the implementation of the B&RI in building a global community of shared future. The ninth Summit was held on September 11 and 12, 2024, and attracted around 6 000 government officials and business leaders from over 70 B&R countries and regions (including the Middle East region), as well as more than 100 delegations. The BRO has also organised 10 exchange sessions since November 2023, inviting Consul Generals from B&R countries (including relevant countries in the Middle East region) in Hong Kong as well as representatives of professional bodies and enterprises to share the opportunities and relevant experience in B&R countries.

     
    Ends/Wednesday, February 26, 2025Issued at HKT 18:18

    NNNN

    MIL OSI Asia Pacific News

  • MIL-OSI Asia-Pac: Commerce and Industry Minister Piyush Goyal joins Maharashtra CM Devendra Fadnavis for key distribution ceremony of 15 self-redeveloped housing societies in North Mumbai

    Source: Government of India (2)

    Commerce and Industry Minister Piyush Goyal joins Maharashtra CM Devendra Fadnavis for key distribution ceremony of 15 self-redeveloped housing societies in North Mumbai

    1000 bed hospital construction progressing swiftly in North Mumbai and another 1000 bed hospital to come up in West Kandivali:Shri Goyal

    Posted On: 26 FEB 2025 11:14AM by PIB Delhi

    Union Minister of Commerce and Industry, Shri Piyush Goyal, along with Maharashtra Chief Minister Shri Devendra Fadnavis, distributed keys for the 15 self-redeveloped housing societies in North Mumbai on 25 February 2025. Addressing the gathering, the Minister assured that the Central Government would extend full support to the Maharashtra Government’s initiatives in urban redevelopment and infrastructure development.

    Shri Goyal conveyed Prime Minister Shri Narendra Modi’s message, stating that the government remains committed to providing pucca houses to the homeless and those currently living in kachha houses in the same locality. He highlighted that this initiative aims to secure the future of families, ensuring a stable home for children and future generations.

    Speaking on the development in North Mumbai, Shri Goyal mentioned that the region has been witnessing significant infrastructure advancements in recent times. He noted that the construction of a 1000-bed hospital near the Magathane metro station is progressing swiftly, and another 1000-bed hospital is planned for construction in West Kandivali, which will enhance healthcare access and services in the region.

    The Minister applauded Chief Minister Devendra Fadnavis for leading major infrastructural projects, including the extension of the Coastal Road (Worli-Bandra) to Versova and the proposed coastal road connecting the new airport via the Atal Sethu. He stated that these projects would play a pivotal role in reducing congestion and improving connectivity in Mumbai.

    Shri Goyal also commended the Maharashtra Government’s efforts in addressing critical civic issues. He pointed out that the persistent problem of road damage during monsoon seasons is being tackled through the extensive use of cement-concrete roads. Additionally, he acknowledged that the issue of untreated sewage water polluting water bodies is being effectively managed, with over ₹26,000 crore allocated to ensure proper sewage treatment before its release into the ocean.

    The Minister urged stakeholders to actively participate in and create awareness about self-redevelopment projects in their respective areas. He expressed hope that such initiatives would provide North Mumbai with a new direction, fostering development and ensuring a secure future for its residents.

    Concluding his remarks, Shri Goyal emphasized that the event marked a significant step towards self-reliance in urban development, reinforcing the government’s vision of making housing accessible and sustainable for all.

     

    ***

    Abhijith Narayanan

    (Release ID: 2106340) Visitor Counter : 52

    MIL OSI Asia Pacific News

  • MIL-OSI Asia-Pac: LCQ11: Prevention of telephone fraud

    Source: Hong Kong Government special administrative region

         Following is a question by Dr the Hon Dennis Lam and a written reply by the Secretary for Commerce and Economic Development, Mr Algernon Yau, in the Legislative Council today (February 26):
     
    Question:
     
         The Office of the Communications Authority announced at the end of last year that starting from December 31 last year, local mobile service providers would play a voice alert message to local users for calls made from newly activated local prepaid Subscriber Identification Module (SIM) cards, stating, “This call is made from a new prepaid SIM card”, so as to further assist members of the public in staying vigilant against suspicious calls. On the other hand, it has been reported that the number of telephone fraud cases has remained high since the Government introduced the Real-name Registration Programme for SIM Cards. In this connection, will the Government inform this Council:
     
    (1) whether it has estimated the effectiveness of the aforesaid voice alert measure;
     
    (2) of the number of telephone fraud cases received by the Police last year and the total amount of money involved;
     
    (3) of the respective numbers of cases received by the Police last year concerning the purchase and registration of local SIM cards using false identity documents, and the sale of SIM cards registered in the names of others;
     
    (4) of the respective numbers of cases in which telecommunications service providers rejected SIM card registration requests and deregistered suspicious SIM cards last year;
     
    (5) of the number of cases received by the Police last year concerning the use of artificial intelligence image synthesis technology to create falsified images and commit fraud through video calls; and
     
    (6) the number of downloads of “Scameter+” since its launch, and the number of suspicious calls it has successfully blocked?
     
    Reply:
     
    President,
     
         The Real-name Registration Programme for SIM Cards (RNR Programme) has been fully implemented since February 24, 2023, requiring that all SIM cards issued and used locally (including SIM service plans and pre-paid SIM cards (PPS cards)) must complete real-name registration before service activation. The RNR Programme helps plug the loophole arising from the anonymous nature of PPS cards used in conducting illegal activities in the past, and assists law enforcement agencies in the detection of crimes involving the use of PPS cards (including phone deception). To combat phone deception, the Office of the Communications Authority (OFCA) has been collaborating with the Hong Kong Police Force (Police) and telecommunications operators to devise and implement a series of measures from the telecommunications services perspective to combat such illegal activities by tackling the problem at source. Regarding the question raised by Dr the Hon Dennis Lam, having consulted the Security Bureau, the Police and OFCA, our reply is as follows:
     
    (1) and (4) To assist the public in guarding against suspicious calls, local mobile service providers have been required since December 31 last year to send voice alerts to local mobile and fixed service users for calls made from newly activated local PPS cards to raise users’ awareness of suspicious calls. The voice alerts are applicable to newly activated local PPS cards while the SIM service plans are not affected. The measure has been implemented for about two months and has been operating smoothly overall. OFCA will continue to review the implementation of the measure, and make appropriate adjustments as necessary to ensure its effective implementation.
     
         In addition, to ensure the effective implementation of the RNR Programme, OFCA has been requiring telecommunications operators to continuously enhance their registration platforms taking into account the implementation experiences, including the request for telecommunications service providers to adopt “iAM Smart” as the default registration method for Hong Kong identity (HKID) card holders under the RNR Programme since October last year or otherwise, telecommunications operators must manually verify the registration information submitted upon receipt of a registration request for completing the necessary procedures before activating the PPS cards. At the same time, telecommunications operators have to conduct full manual verification of the registration information submitted on the online registration platforms by all non-HKID holders (e.g. holders of valid travel documents or passports) for PPS cards. Moreover, telecommunications operators are required to conduct regular sampling checks on the registration information of registered PPS card users and manual checks on suspected cases. If users subject to sample checks are unable to verify the registration information following the instructions of the respective telecommunications service providers, the relevant PPS cards may be deregistered and cannot be used further.
     
         Since the implementation of the RNR Programme, as of the end of January this year, around 4.1 million PPS cards were rejected as the clients failed to provide information in compliance with the registration requirements. In addition, telecommunications operators have cancelled the registration records of about 3.2 million non-compliant PPS cards. OFCA will continue to maintain close liaison with telecommunication operators and will refer any suspicious cases to the Police for follow-up action as soon as possible.
     
         To further enhance the RNR Programme, the Government is reviewing the overall implementation of the RNR Programme, including the limit on the number of PPS cards, as well as prohibiting the resale of registered SIM cards. The Government plans to introduce the relevant legislative amendments to the Legislative Council within this year.
     
    (2) and (3) The Police received a total of 9 204 telephone deception cases in 2024, involving a total amount of $2.91 billion. The Police does not keep statistics on the number of cases concerning the purchase and registration of local SIM cards using false identity documents or the sale of SIM cards registered in the names of others.
     
    (5) and (6) The Police received a total of three fraud cases related to deepfake technology in 2024, involving fraudsters impersonating senior executives of companies to lure victims to make money transfers, and cases of deepfake technology being used to lure victims in Hong Kong, the Mainland and various places in Southeast Asia to invest in cryptocurrencies.
     
         In addition, the Police launched a one-stop scam and pitfall search engine, Scameter, in September 2022, and a mobile application version, “Scameter+”, in February the following year, to help members of the public distinguish suspicious online platform accounts, payment accounts, telephone numbers, email addresses, websites, etc, and to provide anti-fraud tips. As of the end of last year, “Scameter+” had been downloaded for over 874 000 times, and had alerted users to over 90 000 suspicious calls and over 600 000 suspicious websites. In addition, since September 2022 and up to the end of last year, the Police have asked telecommunications operators to block more than 8 300 local and non-local suspicious telephone numbers and nearly 30 000 suspicious website links.

    MIL OSI Asia Pacific News

  • MIL-OSI Asia-Pac: Budget Speech by the Financial Secretary (6)

    Source: Hong Kong Government special administrative region

    International Trade Centre105. As an international trade centre, Hong Kong capitalises on unique advantages and reinforces connectivity, and serves as a bridge linking the Mainland and global markets. It provides high-standard professional services for international trade, helping our country promote the new development pattern of “dual circulation”.Multinational Supply Chain Management Centre106. HKTDC and InvestHK jointly encourage Mainland enterprises to establish a foothold in Hong Kong and set up international or regional headquarters for managing offshore trading and supply chain, thereby assisting these enterprises in going global and planning supply chains and industry chains. HKTDC will provide them with one-stop professional consulting services to help them establish market connections and understand laws and regulations in overseas markets.107. Hong Kong serves as an important regional trade financing centre. The outstanding trade finance by banks has reached $380 billion, about 40 per cent of which provide financing for merchandise trade outside Hong Kong. The Trade Financing Liquidity Facility recently introduced by HKMA and PBoC also provides greater flexibility for RMB trade financing. In addition, the Hong Kong Export Credit Insurance Corporation will provide credit insurance for export services relating to multinational supply chain to render more comprehensive support to enterprises seeking to go global.108. The Government will make reference to the Model Law on Electronic Transferable Records advocated by the United Nations Commission on International Trade Law and consider legislative amendments to facilitate digitalisation of trade documents. We will submit the relevant legislative proposal to LegCo next year.Network Expansion109. To expand our trade network and attract more inward investment and enterprises from the Global South markets to Hong Kong, the Government is following up actively with the governments of Malaysia and Saudi Arabia on the establishment of Economic and Trade Offices in these two countries. In addition, InvestHK has established consultant offices in Cairo, Egypt and Izmir, Türkiye. HKTDC has also set up a consultant office in Cambodia.110. We are exploring the signing of investment agreements with Saudi Arabia, Bangladesh, Egypt and Peru, and conducting negotiations with 17 countries on Comprehensive Avoidance of Double Taxation Agreements.Strengthen Co-operation with Belt and Road Countries111. Hong Kong will continue to utilise our role as a functional platform for the Belt and Road (B&R) Initiative. We, together with business and professional services sectors, will continue to further cultivate the ASEAN and Middle East markets, and explore opportunities in Central Asia, South Asia and North Africa. HKTDC will strengthen B&R project matching, particularly on green development and I&T.112. The B&R Summit is a flagship platform for Hong Kong to participate in and contribute to the B&R Initiative. The 10th Summit will be organised in September and we will encourage different sectors to hold events around the Summit period for enhancing synergies.Supporting Local Enterprises113. To support the development of local enterprises and help them go global, we will inject $1.5 billion in total into the Dedicated Fund on Branding, Upgrading and Domestic Sales and the Export Marketing and Trade and Industrial Organisation Support Fund, and streamline application arrangements. CEDB will announce details later.114. The Government has been providing loan guarantees to businesses through the SME Financing Guarantee Scheme. As at the end of last year, a total of over $288 billion of loans has been approved under the Scheme, benefitting nearly 65 000 small and medium enterprises (SMEs). To meet the financing needs of SMEs during transformation, we relaunched the principal moratorium arrangement in November last year for one year, allowing enterprises to apply for principal moratorium for up to 12 months.115. In addition, many banks have joined the Taskforce on SME Lending jointly established by HKMA and the Hong Kong Association of Banks, committing to making flexible arrangements as far as practicable to ease the cash flow burden on SMEs. The funds dedicated for SME financing in the participating banks’ loan portfolios have recently been increased to over $390 billion. 116. To further assist local SMEs in tapping into the Mainland market and increasing sales from electronic commerce (e-commerce) markets, HKTDC will launch the “E-Commerce Express” in collaboration with large-scale e-commerce platforms to provide Hong Kong enterprises with one-to-one consultation services and thematic seminars. HKTDC will also enhance its mentorship scheme together with the Trade and Industry Department. By doing so, local enterprises will better leverage e-commerce and online shopping platforms in the Mainland to boost sales. In addition, HKTDC will organise the second edition of the Hong Kong Shopping Festival.International Maritime Centre117. Hong Kong is a leading international maritime centre. The Government will continue to embrace changes and adopt an innovative spirit to create a stronger impetus for the development of the industry.Establish Hong Kong Maritime and Port Development Board118. The Government will establish the Hong Kong Maritime and Port Development Board this year to strengthen relevant research, promotion and manpower training to facilitate the sustainable development of the international maritime centre.High Value Added Maritime Services119. In the past few years, the Government has introduced a series of tax measures conducive to the development of the maritime industry. In light of changes of international tax rules, we are enhancing these measures, including introduction of tax deduction on ship acquisition cost for ship lessors under an operating lease. To drive the development of maritime services, we also propose to provide half-rate tax concession to eligible commodity traders. We will introduce a bill into LegCo in the first half of next year.Modern Logistics Development120. The Government endeavours to identify and release suitable logistics sites. The first of such logistics sites in the vicinity of the Kwai Tsing Container Terminals has just been disposed of by public tender. Meanwhile, the Government initiated a study on the development model for logistics sites in the NM in order to develop modern logistics clusters. Findings of the study are expected to be announced this year.Smart Port121. To develop smart port, the Government has set aside $215 million to install the port community system, with a view to enhancing the flow of data among stakeholders in the maritime, port and logistics industries. We will seek funding approval from LegCo this year.International Aviation Hub122. The Hong Kong International Airport (HKIA) connects to nearly 200 global destinations. Daily passenger throughput and number of aircraft movements have largely returned to pre pandemic level. Air cargo throughput has topped the global ranking for multiple years. The HKIA Three-Runway System was commissioned at the end of last year, while the related passenger facilities will commence operation by phases from the end of this year.Airport City123. The Airport Authority Hong Kong (AA) has just promulgated a development plan for expanding the Airport City. With the aviation industry as its focal point, the Airport Island as well as the land and waters in its vicinity will be utilised for the development of a new highlight project encompassing high end commercial, art, tourism and leisure activities.Facilitate C919’s Entry to International Aviation Market124. In January this year, our country’s home developed aircraft C919 was officially deployed for scheduled flights between Hong Kong and Shanghai. The inaugural flight outside of the Mainland signified a major breakthrough for home developed aircrafts to go global. Hong Kong will help C919 enter the global market. The Hong Kong International Aviation Academy will expand its training programmes to cover C919 aircraft related aspects.Aircraft Parts Processing and Trading Centre125. Under the co-ordination of InvestHK, the AA has signed a Memorandum of Understanding with a leading overseas professional aeronautic services company to explore the possibility of providing professional services such as aircraft dismantling, parts recycling and related training in Hong Kong, thereby developing Hong Kong into the first aircraft parts processing and trading centre in Asia.

    MIL OSI Asia Pacific News

  • MIL-OSI Asia-Pac: Budget Speech by the Financial Secretary (5)

    Source: Hong Kong Government special administrative region

    Strengthening Industries with Competitive Edge

    72. It is imperative for Hong Kong to leverage on its strategic positioning as the “three centres and a hub” and make good use of the advantages of “one country, two systems”. With the resolute support of our country, we must consolidate and strengthen industries with clear advantages whilst actively nurturing and developing new industries, injecting new impetus to Hong Kong’s economy such that Hong Kong could contribute to the Chinese path to modernisation while realising faster and better development.

    International Financial Centre

    73. Last year, Hong Kong ranked among the top three international financial centres (IFC) and the top four initial public offering markets in the world. The Hong Kong stock market has been buoyant since the beginning of this year. Total assets under management amounted to over $31 trillion, with over half of the funding sourced from investors outside. The offshore Renminbi (RMB) liquidity pool has expanded to approximately RMB1.1 trillion.

    74. The key to consolidating and enhancing the strengths of Hong Kong as an IFC lies in institutional innovation, product innovation, a critical mass of enterprises and financial connectivity. Over the past few years, institutional reforms to the capital market, including establishing listing avenues for new economy and technology enterprises with weighted voting rights structures, facilitating fundraising by overseas issuers, etc., coupled with the Government’s active efforts in attracting new capital overseas and expanding new markets, have injected impetus to the Hong Kong market and improved its liquidity. We are pressing ahead with high-quality development of Hong Kong’s international financial market to create more new growth areas.

    Securities and derivatives market

    Facilitating financing of overseas enterprises and specific products

    75. The Association of Southeast Asian Nations (ASEAN) is an important economic region that continues to grow. A number of enterprises from ASEAN are seeking to apply for listing in Hong Kong, covering businesses in areas such as biotechnology, integrated logistics, mining, etc.

    76. HKEX will step up its promotion in ASEAN and the Middle East, and actively explore areas of co-operation with countries in the region, including the listing of exchange-traded funds, to enrich the investment product choices in mutual markets and promote two-way capital flows. HKEX will also strive to increase the number of overseas recognised exchanges to facilitate more overseas companies’ secondary listing in Hong Kong.

    77. In order to facilitate more private equity funds to list in Hong Kong, SFC has clarified the relevant regulatory requirements to encourage sizeable alternative asset funds with regular income streams to raise funds. In addition, HKEX will put forward recommendations to enhance the issuance mechanism of structured products with a view to providing greater flexibility for product listing and trading.

    Improving trading and risk management efficiency

    78. We will continue to advance reforms to the trading mechanism. HKEX will gradually introduce new functions to its post-trade system from the middle of this year and conduct system upgrades to ensure technical compatibility with the T+1 settlement cycle by the end of this year, and complete advance preparations for shortening the settlement cycle.

    79. Riding on the reduction in minimum price spreads to be implemented in the middle of this year, HKEX is reviewing with the SFC the trading unit system, or the so-called “board lot” system, and will put forward proposed enhancements this year, so that trading arrangements can better meet liquidity characteristics of shares of different sizes and investment needs, as well as facilitate trading and improve efficiency.

    80. We have submitted the subsidiary legislation with regard to the implementation of the uncertificated securities market regime to LegCo. The SFC and HKEX are working closely with the industry to carry out system upgrades and technical preparations, with a view to implementing the regime early next year.

    81. To meet the risk management needs of investors, the SFC will consult the market on the proposal to increase the position limits for key index derivatives, so as to enhance flexibility for investors to use the relevant derivatives while safeguarding financial safety.

    Taking forward reforms to the listing regime

    82. To dovetail with the latest economic trends and corporate needs, we will review listing requirements and post-listing ongoing obligations, evaluate listing-related regulations and arrangements to improve the vetting process, optimise the thresholds for dual primary listing and secondary listing, and review the market structure, including exploring the establishment of a post-delisting over-the-counter trading mechanism.

    Fixed Income and Currency Hub

    83. The SFC and the HKMA have set up a task force to formulate a roadmap, covering the development of primary and secondary bond markets and foreign exchange markets, as well as infrastructural enhancement. We will also organise a flagship forum in the second half of this year to promote Hong Kong’s strengths in this regard.

    84. The Government will conduct research into the current legal and regulatory regime related to the issuance and transactions of digital bonds and explore enhancement measures to promote the wider adoption of tokenisation in Hong Kong’s bond market.

    85. The Government will regularise the issuance of tokenised bonds. The HKMA is preparing for issuing the third tranche of tokenised bonds, and will continue to encourage digital bonds issuances through the Digital Bond Grant Scheme, while actively exploring tokenising traditional bonds issued.

    Asset and Wealth Management Centre

    86. We have been striving to foster the development of the asset and wealth management industries. Measures implemented include enhancements to the Cross-boundary Wealth Management Connect in the GBA, Exchange-traded Fund (ETF) Connect, and the Mainland-Hong Kong Mutual Recognition of Funds arrangement.

    87. We will formulate proposals on the preferential tax regimes for funds, single family offices and carried interest this year, including expanding the scope of “fund” under the tax exemption regime, increasing the types of qualifying transactions eligible for tax concessions for funds and single family offices, enhancing the tax concession arrangement on the distribution of carried interest by private equity funds, etc.

    88. We will continue to attract global capital to Hong Kong and develop a vibrant ecosystem for family offices. InvestHK has assisted over 160 family offices in setting up operations or expanding their businesses in Hong Kong. We will be hosting the third edition of the Wealth for Good in Hong Kong Summit shortly under the theme “Hong Kong of the world, for the world”, showcasing Hong Kong’s strengths as a global hub for family offices.

    Offshore RMB Business Centre

    89. With the prudent and steady progress of RMB internationalisation, Hong Kong, as an offshore RMB business hub, will continue to enhance offshore RMB liquidity, improve the relevant infrastructure, and provide more investment products and risk-management tools.

    90. The Government promotes the formation of the offshore RMB yield curve by regularly issuing RMB bonds of different tenors. The Hong Kong RMB Clearing Bank has been offering 24-hour cross-border clearing service since last year, bringing convenience to banks and customers in different time zones.

    91. The current size of the Currency Swap Agreement between the HKMA and the People’s Bank of China (PBoC) is RMB800 billion. The HKMA will launch an RMB Trade Financing Liquidity Facility for banks as a stable source of relatively lower-cost funds, so as to support banks in providing RMB trade finance services to their corporate customers. The new facility has a total size of RMB100 billion. 

    92. To promote trading of more stocks in RMB and improve market liquidity, both places are conducting technical preparations at full speed to implement the inclusion of RMB trading counter under Southbound trading of Stock Connect. In addition, HKEX is taking forward the single tranche multiple counter arrangement, including adopting the same International Securities Identification Number for dual-counter stocks, so as to enhance settlement efficiency. The Government has also been conducting preparatory work to allow the stamp duty payable on the transfer of stocks at RMB counters to be paid in RMB, with a view to putting forward a legislative proposal next year.

    Mutual market access and co-development with the Mainland

    93. We will enhance the mutual market access mechanism with the Mainland, including the issuance of offshore Mainland government bond futures in Hong Kong, and implementing block trading of stocks and inclusion of real estate investment trusts under the mutual access as soon as possible. We will also actively explore opportunities to introduce further expansion initiatives, extend the Cross-boundary Wealth Management Connect Scheme in the GBA, improve market liquidity, and enrich the risk management toolbox.

    94. The Financial Services and the Treasury Bureau, together with OASES and the HKTDC, will host the inaugural Hong Kong Global Financial and Industry Summit this year, which will pool together global enterprises, funds and technologies through financial empowerment, thereby elevating the level of international co-operation of industries. It will also attract more leading companies in advanced industries, domestic as well as overseas enterprises and investors to establish a foothold in Hong Kong.

    95. To promote the connection of e-payment between the Mainland and Hong Kong, the PBoC and the HKMA are working closely to implement the linkage of faster payment systems of both places, with a view to providing round-the-clock real-time, small-value cross-boundary remittance service for residents in both places. The service is expected to be launched in the middle of this year at the soonest.

    96. According to the “Second Agreement Concerning Amendment to the Mainland and Hong Kong Closer Economic Partnership Arrangement Agreement on Trade in Services”, the restriction for the Mainland branches of Hong Kong banks to conduct bank card business will be lifted starting from next month. This will facilitate them in expanding their businesses in the Mainland.

    Fintech and Financial Innovation

    Virtual Asset Development

    97. We have been actively developing the virtual asset ecosystem in Hong Kong in recent years, and have been at the forefront by establishing a framework that balances regulation and market development.

    98. “Consensus”, an annual flagship event of the sector, was successfully held in Hong Kong recently, bringing together a few thousands of industry elites and companies from across the world in virtual assets, blockchain, Web3 and fintech, etc. This is a manifestation of global confidence in Hong Kong’s vibrant development in this area. During the event, the SFC also announced a roadmap on the virtual asset market.

    99. We will soon promulgate a second policy statement on the development of virtual assets to explore how to leverage the advantages of traditional financial services and innovative technologies in the area of virtual assets, enhance security and flexibility of real economy activities, and encourage local and international companies to explore the innovation and application of virtual asset technologies. The Government will conduct consultation on the licensing regimes of virtual asset over-the-counter trading services and custodian services this year.

    100. We have introduced into LegCo a bill to put in place a regulatory regime for issuers of fiat-referenced stablecoins. Upon the passage of the Bill, the HKMA will expedite the vetting of licence applications.

    Gold and Commodities

    101. The Working Group on Promoting Gold Market Development will formulate a plan this year, covering measures to enhance storage facilities, optimise trading and regulatory mechanisms, expand exchange products, and conduct market promotion. The measures will be implemented gradually.

    102. London Metal Exchange, a subsidiary of HKEX, has included Hong Kong as its approved delivery point in January this year. Local warehouse operators have expressed interest in becoming its accredited warehouses. Relevant discussion is actively underway.

    Non-traditional risk transfer

    103. As an international risk management centre, Hong Kong has been providing diversified risk management tools. We are proactively promoting the development of insurance-linked securities by establishing a dedicated regulatory regime and launching a pilot grant scheme. To date, we have facilitated the issuance of six catastrophe bonds in Hong Kong, with issuance amount totalling over $5.8 billion. The industry responded favourably to the pilot scheme, and we will extend it for three years.

    MPF “Full Portability”

    104. The Mandatory Provident Fund Schemes Authority will consult the public on specific proposals of MPF “Full Portability” this year and submit recommendations to the Government thereafter, such that MPF “Full Portability” can be launched soon after full implementation of the eMPF Platform.

    MIL OSI Asia Pacific News

  • MIL-OSI Europe: REPORT on the implementation of the common security and defence policy – annual report 2024 – A10-0011/2025

    Source: European Parliament

    MOTION FOR A EUROPEAN PARLIAMENT RESOLUTION

    on the implementation of the common security and defence policy – annual report 2024

    (2024/2082(INI))

    The European Parliament,

     having regard to the Treaty on the Functioning of the European Union (TFEU),

     having regard to Title V of the Treaty on European Union (TEU), in particular Chapter Two, Section Two thereof on provisions on the common security and defence policy (CSDP),

     having regard to the Versailles Declaration adopted at the informal meeting of heads of state or government on 11 March 2022,

     having regard to the ‘Strategic Compass for Security and Defence – For a European Union that protects its citizens, values and interests and contributes to international peace and security’, which was approved by the Council on 21 March 2022 and endorsed by the European Council on 25 March 2022,

     having regard to the national security strategies of the EU Member States,

     having regard to the Civilian CSDP Compact – Towards more effective civilian missions, approved by the Council on 22 May 2023,

     having regard to Council Decision (CFSP) 2017/2315 of 11 December 2017 establishing permanent structured cooperation (PESCO) and determining the list of participating Member States[1],

     having regard to Council Decision (CFSP) 2022/1968 of 17 October 2022 on a European Union Military Assistance Mission in support of Ukraine (EUMAM Ukraine)[2],

     having regard to Council Decision (CFSP) 2022/1970 of 17 October 2022 amending Decision 2010/452/CFSP on the European Union Monitoring Mission in Georgia, EUMM Georgia[3],

     having regard to Council Decision (CFSP) 2022/2507 of 19 December 2022 amending Decision 2010/452/CFSP on the European Union Monitoring Mission in Georgia, EUMM, Georgia[4],

     having regard to Council Decision (CFSP) 2023/162 of 23 January 2023 on a European Union mission in Armenia (EUMA)[5],

     having regard to Council Decision (CFSP) 2024/890 of 18 March 2024 amending Decision (CFSP) 2021/509 establishing a European Peace Facility[6],

     having regard to Regulation (EU) 2019/452 of the European Parliament and of the Council of 19 March 2019 establishing a framework for the screening of foreign direct investments into the Union[7],

     having regard to Regulation (EU) 2021/697 of the European Parliament and of the Council of 29 April 2021 establishing the European Defence Fund and repealing Regulation (EU) 2018/1092[8],

     having regard to Regulation (EU) 2023/1525 of the European Parliament and of the Council of 20 July 2023 on supporting ammunition production (ASAP)[9],

     having regard to Regulation (EU) 2023/2418 of the European Parliament and of the Council of 18 October 2023 on establishing an instrument for the reinforcement of the European defence industry through common procurement (EDIRPA)[10],

     having regard to Regulation (EU) 2024/1252 of the European Parliament and of the Council of 11 April 2024 establishing a framework for ensuring a secure and sustainable supply of critical raw materials and amending Regulations (EU) No 168/2013, (EU) 2018/858, (EU) 2018/1724 and (EU) 2019/1020[11],

     having regard to the Commission proposal of 18 April 2023 for a regulation of the European Parliament and of the Council laying down measures to strengthen solidarity and capacities in the Union to detect, prepare for and respond to cybersecurity threats and incidents (COM(2023)0209),

     having regard to the joint communication from the Commission and the High Representative of the Union for Foreign Affairs and Security Policy of 10 March 2023 on a European Union Space Strategy for Security and Defence (JOIN(2023)0009),

     having regard to Commission Recommendation (EU) 2023/2113 of 3 October 2023 on critical technology areas for the EU’s economic security for further risk assessment with Member States[12],

     having regard to the annual financing decision, constituting the first part of the annual work programme for the implementation of the European Defence Fund for 2024, adopted by the Commission on 21 June 2023 (C(2023)4252),

     having regard to the Council conclusions of 22 January 2018 on the Integrated Approach to External Conflicts and Crises and of 24 January 2022 on the European security situation,

     having regard to the Granada Declaration adopted at the informal meeting of heads of state or government on 6 October 2023,

     having regard to the Council conclusions of 21 February 2022 extending and enhancing the implementation of the Coordinated Maritime Presences Concept in the Gulf of Guinea,

     having regard to the European Council conclusions of 21 and 22 March 2024, concerning the decision to open accession negotiations with Bosnia and Herzegovina,

     having regard to the Council conclusions of 27 May 2024 on EU security and defence,

     having regard to the joint communication from the Commission and the High Representative of the Union for Foreign Affairs and Security Policy of 10 November 2022 entitled ‘Action plan on military mobility 2.0’ (JOIN(2022)0048),

     having regard to the joint communication from the Commission and the High Representative of the Union for Foreign Affairs and Security Policy of 18 May 2022 on the Defence Investment Gaps Analysis and Way Forward (JOIN(2022)0024),

     having regard to the joint communication from the Commission and the High Representative of the Union for Foreign Affairs and Security Policy of 5 March 2024 entitled ‘A new European Defence Industrial Strategy: Achieving EU readiness through a responsive and resilient European Defence Industry’ (JOIN(2024)0010),

     having regard to the report by the High Representative of the Union for Foreign Affairs and Security Policy of 20 June 2024 entitled ‘Common Foreign and Security Policy Report – Our priorities in 2024’,

     having regard to the political guidelines for the next European Commission 2024-2029, by the candidate for European Commission President, Ursula von der Leyen, of 18 July 2024, entitled ‘Europe’s choice’,

     having regard to the report by Enrico Letta entitled ‘Much more than a market’ and in particular the section on ‘Promoting peace and enhancing security: towards a Common Market for the defence industry’, published in April 2024,

     having regard to the report by Mario Draghi of 9 September 2024 on the future of European competitiveness and Chapter Four thereof on increasing security and reducing dependencies,

     having regard to the report by Sauli Niinistö of 30 October 2024 entitled ‘Safer Together: Strengthening Europe’s Civilian and Military Preparedness and Readiness’,

     having regard to the security and defence partnerships respectively signed on 21 May 2024 by the EU and Moldova, and on 28 May 2024 by the EU and Norway,

     having regard to the Charter of the United Nations, in particular Article 2(4) thereof on prohibiting the use of force and of Article 51 on the inherent right to individual and collective self-defence,

     having regard to the UN Convention on the Law of the Sea (UNCLOS),

     having regard to UN Security Council Resolutions 1325 (2000) of 31 October 2000, 1889 (2009) of 5 October 2009, 2122 (2013) of 18 October 2013, 2242 (2015) of 13 October 2015 and 2493 (2019) of 29 October 2019 on Women, Peace and Security, and Resolutions 2250 (2015) of 9 December 2015, 2419 (2018) of 6 June 2018 and 2535 (2020) of 14 July 2020 on Youth, Peace and Security,

     having regard to UN General Assembly Resolution 70/1 of 25 September 2015 entitled ‘Transforming our world: the 2030 Agenda for Sustainable Development’,

     having regard to the Pact for the Future and Chapter Two thereof on international peace and security, adopted on 23 September 2024 by the heads of state or government of the UN member states,

     having regard to the North Atlantic Treaty,

     having regard to the Madrid Summit Declaration adopted by the heads of state or government of NATO at the North Atlantic Council meeting in Madrid on 29 June 2022,

     having regard to the NATO 2022 Strategic Concept and the NATO 2023 Vilnius Summit Communiqué,

     having regard to the three joint declarations on EU-NATO cooperation signed on 8 July 2016, 10 July 2018 and 10 January 2023,

     having regard to the ninth progress report on the implementation of the common set of proposals endorsed by EU and NATO Councils on 6 December 2016 and 5 December 2017, submitted jointly by the Vice-President of the Commission / High Representative of the Union for Foreign Affairs and Security Policy (VP/HR) and the NATO Secretary General to the Council of the EU and the NATO Council on 13 June 2024,

     having regard to the Washington Summit Declaration issued by the heads of state or government of NATO participating in the North Atlantic Council meeting in Washington on 10 July 2024,

     having regard to its recommendation of 8 June 2022 on the EU’s Foreign, Security and Defence Policy after the Russian war of aggression against Ukraine[13],

     having regard to its recommendation of 23 November 2022 concerning the new EU strategy for enlargement[14],

     having regard to its resolution of 23 November 2022 on recognising the Russian Federation as a state sponsor of terrorism[15],

     having regard to its resolution of 1 June 2023 on foreign interference in all democratic processes in the European Union, including disinformation[16],

     having regard to its resolution of 28 February 2024 on the implementation of the common security and defence policy – annual report 2023[17],

     having regard to its resolution of 29 February 2024 on the need for unwavering EU support for Ukraine, after two years of Russia’s war of aggression against Ukraine[18],

     having regard to its resolution of 17 July 2024 on the need for the EU’s continuous support for Ukraine[19],

     having regard to its resolution of 19 September 2024 on continued financial and military support to Ukraine by EU Member States[20],

     having regard to its resolution of 17 January 2024 on the security and defence implications of China’s influence on critical infrastructure in the European Union[21],

     having regard to its position of 22 October 2024 on the proposal for a regulation of the European Parliament and of the Council establishing the Ukraine Loan Cooperation Mechanism and providing exceptional macro-financial assistance to Ukraine[22],

     having regard to its resolution of 24 October 2024 on the misinterpretation of UN resolution 2758 by the People’s Republic of China and its continuous military provocations around Taiwan[23],

     having regard to Ukraine’s victory plan presented by the President of Ukraine, Volodymyr Zelenskyy, to the European Council on 17 October 2024,

     having regard to Rule 55 of its Rules of Procedure,

     having regard to the report of the Committee on Foreign Affairs (A10-0011/2025),

    A. whereas this past year has been marked by a decline in global peace and security, resulting, inter alia, from conflict, geopolitical rivalry, growing militarisation, terrorism and hybrid threats, as assessed by the Normandy Index 2024[24];

    B. whereas Russia’s ongoing war of aggression against Ukraine, continued armament efforts and armaments cooperation with other authoritarian powers far surpassing European stocks and production capacities, and the Russian regime’s choice to undermine the rules-based international order and the security architecture of Europe and to wage war on European countries or seek to destabilise them in order to realise its imperialist vision of the world, poses the most serious and unprecedented threat to world peace, as well as to the security and territory of the EU and its Member States; whereas Russia currently produces three million artillery shells per year, while the EU’s declared ambition within its first European Defence Industrial Strategy (EDIS) aims for a production capacity of 2 million shells per year by the end of 2025; whereas the Russian regime is strengthening its ties with the autocratic leadership of China, Iran and North Korea to achieve its objectives;

    C. whereas the EU is also facing the most diverse and complex range of non-military threats since its creation, exacerbated by Russia’s war of aggression against Ukraine, including, inter alia, foreign information manipulation and interference (FIMI), cyberattacks, economic pressure, food and energy blackmail, instrumentalisation of migration and subversive political influence;

    D. whereas Russia illegally invaded and annexed Crimea and the Donetsk, Kherson, Luhansk and Zaporizhzhia regions of Ukraine; whereas Ukraine needs to be provided with the necessary military capabilities for as long as it takes for Ukraine to achieve a decisive military victory, end Russia’s illegal war of aggression, restore its sovereignty and territorial integrity within its internationally recognised borders and deter any future aggression; whereas Ukraine, in defending itself, is also protecting and fighting for European values and core security interests; whereas Russia is still illegally occupying the Abkhazia and South Ossetia regions of Georgia and the Transnistria region of Moldova;

    E. whereas, driven by the ambition to become a global superpower, China is eroding the rules-based international order by increasingly pursuing assertive foreign and hostile economic and competition policies and exporting dual-use goods employed by Russia on the battlefield against Ukraine, thereby threatening European interests; whereas China is also heavily arming itself militarily, using its economic power to quash criticism worldwide, and is striving to assert itself as the dominant power in the Indo-Pacific region; whereas China, by intensifying its confrontational, aggressive and intimidating actions against some of its neighbours, particularly in the Taiwan Strait and the South China Sea, poses a risk to regional and global security;

    F whereas China has, for many years, promoted an alternative narrative, challenging human rights, democratic values and open markets in multilateral and international forums; whereas China’s increasing influence in international organisations has impeded positive progress and further excluded Taiwan from rightful and meaningful participation in these organisations;

    G. whereas the EU’s security environment has deteriorated not only in Eastern Europe, but also in its southern neighbourhood and beyond;

    H. whereas the despicable terrorist attacks by Hamas against Israel, the ongoing war in Gaza and the military operations against the Hezbollah on Lebanese territory have significantly increased the danger of a regional military confrontation in the Middle East, and the risk of escalation in the region is at its highest in decades; whereas the ongoing attacks in the Red Sea launched from the Houthi-controlled areas of Yemen, with the support of Iran, and the hijackings of commercial vessels by Somali pirates, from the Red Sea to the northwestern Indian Ocean, pose a significant threat to freedom of navigation, maritime security and international trade; whereas additional attacks by various Iran-backed militias in Iraq and Syria are further increasing the risk of regional escalation; whereas the EU has launched its own military operation, EUNAVFOR ASPIDES, to improve the security situation in the area;

    I. whereas the eastern neighbourhood and Western Balkan countries face increasingly diverse threats to their security and are being negatively affected by Russia’s war of aggression against Ukraine, as well as the increased assertiveness of regional and global actors, such as China; whereas Kosovo and the EU-facilitated Belgrade-Pristina Dialogue face, in particular, threats of destabilisation;

    J. whereas the disastrous impact of past or ongoing wars, instability, insecurity, poverty and climate change in the Sahel region, northeast Africa and Libya, poses serious risks to EU security and its economic and trade interests; whereas the instability and insecurity in the southern neighbourhood and the Sahel region are closely interlinked with and remain an ongoing challenge for EU external border management; whereas the EU Border Assistance Mission in Libya and EUNAVFOR  MED Operation IRINI are contributing to sustainable peace, security and stability by implementing the arms embargo, fighting illicit weapons and human trafficking, and training the Libyan coastguard;

    K. whereas a part of Cyprus, an EU Member State, still remains under illegal occupation by Türkiye;

    L. whereas the Arctic region is becoming increasingly important for geopolitics, economic development and transport, while, at the same time, it is facing challenges linked to climate change, militarisation and migration;

    M. whereas past underinvestment in defence by EU Member States has led to an investment gap; whereas the Member States have agreed on more, better and smarter defence spending; whereas in 2024, 16 EU Member States that are also NATO allies, compared to 9 in 2023, were expected to exceed the NATO guidelines to spend at least 2 % of their Gross Domestic Product (GDP) on defence; whereas an increasing number of experts consider defence investments of 3 % of GDP to be a necessary objective in the light of the direct threat that Russia poses to the EU and its Member States;

    N. whereas in 2023, Parliament and the Council concluded agreements on the European defence industry reinforcement through a common procurement act (EDIRPA) and the Act in Support of Ammunition Production (ASAP), which, as short-term and emergency measures, aim to encourage the joint procurement of defence products, ramp up the European defence industry’s production capacity, replenish depleted stocks and reduce fragmentation in the defence-procurement sector;

    O. whereas in 2024, the Commission issued proposals for establishing a European Defence Industrial Strategy (EDIS) and a European Defence Industry Programme (EDIP), addressing, in particular, the upgrade of EU security and defence capabilities;

    P. whereas building defence capabilities and adapting them to military needs requires a common strategic culture, shared threat perception and solutions to be developed and combined in doctrine and concepts;

    Q. whereas the exception to the EU budget funding principle set out in Article 41(2) TEU applies to expenditure arising from operations having military or defence implications only; whereas in all other cases, the VP/HR, together with the Commission, where necessary, should propose that CFSP- or CSDP-related expenditure be financed through the EU budget; whereas Articles 14(1) and 16(1) TEU establish a balance between Parliament and the Council as regards their budgetary functions; whereas the current practice does not reflect this balance;

    R. whereas the Draghi report highlights a combination of structural weaknesses affecting the competitiveness of the EU’s Defence Technological and Industrial Base (EDTIB), and identifies fragmentation, insufficient public defence spending and limited access to financing; whereas the European Investment Bank’s (EIB) lending policy excludes the financing of ammunition and weapons, as well as equipment or infrastructure exclusively dedicated to military and police use;

    S. whereas the report by Mr Niinistö underlines the fact that the EU and its Member States are not yet fully prepared for the most severe cross-sectoral or multidimensional crisis scenarios, especially given the further deteriorating external environment; whereas the report states that many threats are already taking place continuously; whereas it insists that preparedness is needed to signal to potential adversaries that they will not be able to outlast the EU; whereas it deplores the fact that the Union lacks a common plan in the event of armed aggression and underlines that the EU needs to rethink the way it defines its security; whereas it underlines the importance of the EU being ready to act in support of a Member State in the event of external armed aggression and of further unlocking the EU’s potential for enhanced civil-military cooperation and dual-use infrastructure and technologies, through optimising the use of scarce resources and strengthening coordination mechanisms for the most severe crisis situations;

    T. whereas the integration of artificial intelligence into the security and defence domain, including weapon technologies, impacts military operations by enabling autonomous systems, predictive analytics and enhanced decision-making capabilities to play a significant role in battlefields; whereas this development presents both unprecedented opportunities and profound risks;

    U. whereas CSDP has 13 civilian missions, 8 military operations and 1 civilian-military mission under way, with around 5 000 personnel deployed on three continents; whereas reviews by the European External Action Service (EEAS) state that these missions and operations persistently suffer from Member States not delivering on their pledges to provide sufficient military or civilian personnel; whereas they also lack rapid decision-making and suffer from a lack of flexibility and adaptation to the specific local needs on the ground; whereas such obstacles limit the overall effectiveness of CSDP missions and operations; whereas one of the objectives of the Strategic Compass is to reinforce EU civilian and military CSDP missions and operations by providing them with more robust and flexible mandates, promoting rapid and more flexible decision-making processes and ensuring greater financial solidarity; whereas EU missions and operations are often targeted by hybrid threats, including disinformation, jeopardising their effectiveness in stabilising the countries in which they are deployed and, instead, reinforcing pre-existing instability, often benefiting malicious non-state actors;

    V. whereas CSDP missions and operations greatly strengthen the resilience and stability of the European neighbourhood, including in the Mediterranean, the Western Balkans, the Eastern Partnership countries, the Sahel region and the Horn of Africa, by providing services such as military, police, coastguard, border management training and capacity building;

    W. whereas the EU assistance to the Libyan coastguard is provided through the EU Border Assistance Mission in Libya (EUBAM Libya) and EUNAVFOR MED Operation IRINI; whereas the main goal of EUNAVFOR MED IRINI is to support the implementation of the UN Security Council’s arms embargo on Libya; whereas the Council of the EU extended the mandate of EUNAVFOR MED IRINI until 31 March 2025, including the task of training the Libyan coastguard and navy;

    X. whereas the EUFOR Althea operation sets a path towards peace, stabilisation and the European integration of Bosnia and Herzegovina, and still plays a pivotal role in ensuring the security and stability of Bosnia and Herzegovina and the region;

    Y. whereas on 17 May 2024, the EU ended the mandate of the EU Training Mission in Mali (EUTM); whereas on 30 June 2024, it ended the mandate of the European Union military partnership mission in Niger (EUMPM) and on 30 September 2024, it ended the ground mission of personnel from the EU Capacity Building Mission in Niger (EUCAP Sahel Niger);

    Z. whereas the EU will allocate EUR 1.5 billion for the 2021-2027 period to support conflict prevention, peace and security initiatives at national and regional level in sub-Saharan Africa; whereas additional support is also provided in Africa under the European Peace Facility (EPF), which enables the EU to provide all kinds of equipment and infrastructure to the armed forces of EU partners;

    AA. whereas the EU and its Member States are facing increasing hybrid attacks on their soil, including FIMI, political infiltration and sabotage, aimed at undermining sound political debate and the trust of EU citizens in democratic institutions, as well as creating divisions in European societies and between nations; whereas in the years to come, hybrid threats will involve increased use of the systematic combination of information warfare, agile force manoeuvre, mass cyberwarfare and emerging and disruptive technologies, from seabed to space, with the deployment of advanced space-based surveillance and strike systems, all of which will be enabled by advanced AI, quantum computing, increasingly ‘intelligent’ drone swarm technologies, offensive cyber capabilities, hypersonic missile systems and nanotech- and bio-warfare; whereas Russia and China have demonstrated increased use of hybrid tools to undermine the security and stability of the EU;

    AB. whereas the Russian Federation makes use of private military companies (PMCs), such as Africa Corps and the Wagner Group, as part of a hybrid warfare toolbox to maintain plausible deniability while exerting influence in various regions and gaining access to natural resources and critical infrastructure; whereas Africa Corps and the Wagner Group have reportedly committed atrocities in Ukraine, Mali, Libya, Syria and the Central African Republic; whereas the Russian Federation has reinforced anti-European sentiments, especially in countries with a strong European presence or hosting CSDP missions;

    AC. whereas on 7 March 2024, Sweden joined NATO as a new member, following Finland which joined in 2023; whereas security and defence cooperation with partners and allies is crucial to the EU’s ambition of becoming an international security provider and constitutes an integral pillar of the CSDP; whereas cooperation with the UN, NATO, the African Union, the Organization for Security and Co-operation in Europe and the Association of Southeast Asian Nations (ASEAN), as well as numerous allies and like-minded partners such as the United States, the United Kingdom, Canada, Norway, Ukraine, Moldova, the Western Balkan countries, Japan, South Korea, Australia, New Zealand and certain Latin American countries, among others, is crucial to the successful implementation of the CSDP;

    The consequences of a changing geopolitical paradigm for European security

    1. Stresses the seriousness of the threats to the security of the European continent, which have reached a level unprecedented since the Second World War; expresses deep concern at the rise of geopolitical fractures, new and renewed imperialist ambitions for domination by authoritarian powers, systemic rivalry of great powers, nationalist unilateralism, the spread of terrorism, including jihadist terrorism, and the primary and growing use of force and violence by certain malicious actors to promote their political and economic objectives and interests or to resolve disputes;

    2. Believes that the geopolitical theatres in Ukraine, the Middle East and the South China Sea and the Indo-Pacific are increasingly interconnected as Russia and China, in particular, are deepening their ties, and pose significant challenges to global peace and security and the rules-based international order that must be addressed by the international community; highlights the increase in attacks and hybrid threats aimed at undermining democratic values and structures, among other things, during elections, as well as the cohesion of and citizens’ adhesion to European values-based societies and the rule of law; believes that this trend amounts to a paradigm shift, as it reverses the logic of building international security on the basis of respect for international law, a rules-based international order and multilateralism;

    3. Recognises the evolving nature of global security threats and emphasises the crucial role that diplomacy, development cooperation and arms control and disarmament play alongside military efforts in ensuring long-lasting international peace and security; notes, however, the limited impact of diplomatic efforts aimed at building peace and security in recent times; underscores that sustainable global peace and stability cannot be achieved through military measures alone, but require comprehensive strategies that address the key drivers of instability, such as poverty, inequality, governance failures and climate change; stresses that the EU’s Global Gateway initiative and other development programmes should be aligned with security objectives, fostering resilient societies by promoting inclusive economic growth, good governance and human rights;

    The EU’s response: a new era of European security and defence

    4. Emphasises the absolute need for the EU to recognise and meet the challenges posed by the multiple and constantly evolving threats to its security, and, for this purpose, to engage in improved and new policies and actions that enable the EU and its Member States to collectively and coherently strengthen their defence in Europe, in order to ensure the security of all EU Member States and their citizens, as well as enhancing their ability to act at the global level;

    5. Recalls the importance of the EU achieving greater strategic autonomy and defence readiness, as outlined in the Strategic Compass, to ensure that its objectives are aligned with the collective and sovereign interests of its Member States and the broader vision of European security and defence; acknowledges, in this regard, that some Member States have long-standing policies of military neutrality, and respects the right of every Member State to determine its own security policy;

    6. Emphasises the importance of continuing to operationalise Article 42(7) TEU on mutual assistance, ensuring solidarity among Member States, especially those whose geographical position leaves them directly exposed to imminent threats and challenges, and regardless of whether they are NATO members; calls for concrete steps towards developing a true EU solidarity policy, including by clarifying the practical arrangements in the event of a Member State activating Article 42(7) TEU and the coherence between Article 42(7) TEU and Article 5 of the North Atlantic Treaty;

    7. Notes the overall limited progress and underinvestment in the development of a common European defence capability, industrial capacity and defence readiness since the CSDP’s establishment 25 years ago; notes, with regret, that despite the ambition of framing a common Union defence policy, as laid out in Article 42(2) TEU, concrete steps are still missing;

    8. Insists on the need for a truly common approach, policies and joint efforts in the area of defence as well as a paradigm shift in the EU’s CSDP that enable the EU to act decisively and effectively in its neighbourhood and on the global stage, safeguard its values, interests and citizens and promote its strategic objectives; underlines the importance of presenting the EU as a strong and united international actor, capable of acting more strategically and autonomously, defending itself against potential enemy attacks and supporting its partners, and delivering peace, sustainable development and democracy; stresses the utmost importance of the EU and its Member States continuing to work on creating a common strategic culture in the area of security and defence; underlines the need for the Member States to collectively reflect on the future of their deterrence policies and doctrines, as well as their adaptation to the changing security environment in Europe; stresses, further, that in order to develop coherent foreign and defence policies, the EU must strengthen its democratic and independent structures, decision-making processes and operational autonomy;

    9. Welcomes the objective of the Commission President to usher in a new era for European defence and security, by building a true European defence union; welcomes the appointment of Andrius Kubilius, the first-ever Commissioner for Defence and Space, tasked with working jointly with the VP/HR on a white paper on the future of European defence within the first hundred days of their mandate; stresses the need for the EU and its Member States, acting to define the European defence union, to take priority measures and prepare future actions in order to ensure the defence readiness of the EU, notably with regard to the threat posed by Russia, and to bolster deterrence and enhance operational capabilities as a tool of defence in wartime, while meeting civilian and humanitarian needs, and thus leveraging the concept of ‘dual-use’;

    10. Calls for the EU and its Member States to accelerate their commitments made in the Versailles Declaration and to assume greater responsibility for their defence and security, including by achieving greater strategic autonomy and bolstering defence and deterrence capabilities, in particular on its eastern borders; stresses that NATO and the transatlantic partnership with the United States remain the cornerstones of European collective defence and that the EU and NATO play complementary, coherent and mutually reinforcing roles in supporting international peace and security; stresses the need for EU Member States and the EU as a whole to step up their efforts through increased and targeted joint investments, joint procurement of defence products that are, for the most part, designed and manufactured in the EU, and the development of more joint capabilities, via, inter alia, pooling and sharing, thereby strengthening their armed forces whether for national, NATO or EU operational purposes;

    11. Concurs with the ambition of strengthening the European pillar within NATO and stresses that the development of a European defence union should go hand-in-hand with the deepening of EU-NATO cooperation, making full use of the unique capacities of each organisation;

    12. Stresses the need for close coordination on deterrence and collaboration between the EU and NATO with regard to developing coherent, complementary and interoperable defence capabilities and reinforcing industrial production capacities; stresses that a European pillar within NATO notably consists of jointly acquiring strategic enablers or strategic weapons systems, which are often too expensive for a single member state, such as air-to-air refuelling capability, command and control capability, hypersonic weapons, layered air defence, electronic warfare capabilities and air and missile defence systems; believes that the European added value lies in jointly developing or buying these enablers and systems that individual EU Member States severely lack; points out that EU capability development strengthens the European pillar within NATO and contributes accordingly to transatlantic security; calls for the establishment of a regular conference between the EU and NATO in order to ensure close coordination and complementarity between both organisations and their member states in their efforts to strengthen capability development and armaments, while avoiding unnecessary and dysfunctional duplication; calls on the Commission and the Council to ensure that EU efforts in defence capability development are coherent with the objectives of the NATO Defence Planning Process; calls, further, for all EPF support for the provision of equipment to be carried out in coordination with NATO to increase efficiency and avoid unnecessary duplication;

    Enhancing European security: supporting Ukraine by providing military capabilities in order to end Russia’s war of aggression

    13. Reaffirms its unwavering support for the EU and its Member States to stand in solidarity with Ukraine in the face of Russia’s war of aggression and to provide Ukraine with the necessary military means and in the time it needs to defend itself, repel the Russian Armed Forces and their proxies, end the conflict, protect its sovereignty and restore its territorial integrity within its internationally recognised borders; welcomes the joint security commitments between the EU and Ukraine, and the bilateral security agreements concluded by Ukraine with several Member States; underlines that such commitments and agreements are part of a wider internationally coordinated package of security guarantees for Ukraine, including the G7’s launch of a multilateral framework for the negotiation of bilateral security commitments and arrangements for Ukraine; believes that without decisive EU military support, Ukraine will not be able to achieve victory against Russia; strongly reiterates its call for EU Member States to urgently meet their commitments and deliver weapons, fighter aircrafts, drones, air defence, weapon systems and ammunition to Ukraine, including air-launched cruise missiles and surface-to-surface systems, and to significantly increase the relevant quantities; notes the successful delivery of 1 million rounds of artillery ammunition to Ukraine as agreed in March 2023 by the Council, despite the regrettable nine-month delay; acknowledges the notable advancements in the EU’s artillery ammunition production capacity, which contribute to the EU’s preparedness and ability to support Ukraine; stresses the importance of enhancing Ukraine’s anti-drone capabilities as a critical element in countering aerial threats and maintaining operational security; calls for the provision of specialised equipment and expertise to enable Ukrainian forces to swiftly identify, track and respond to hostile drone activities, ensuring robust protection for both military and civilian infrastructure; calls for the Member States to lift all restrictions hindering Ukraine from using Western weapons systems against legitimate military targets within Russia, in accordance with international law; calls on the Council to commit to transferring all confiscated military equipment or ammunition from EU operations and missions within and outside the EU to Ukraine; reiterates its position that all EU Member States and NATO allies should collectively and individually commit to supporting Ukraine militarily with no less than 0.25 % of their GDP annually;

    14. Calls for the EU and its Member States to support Ukraine in expanding the international coalition in support of its victory plan and peace formula, presented by the President of Ukraine, Volodymyr Zelenskyy, as the only viable route to restoring Ukraine’s sovereignty and territorial integrity on the basis of international law, and thereby holding Russia, its leadership and its accomplices, in particular the Belarusian regime, to account for waging a war of aggression against Ukraine and  committing war crimes and the crime of aggression, and ensuring Russian reparations and other payments for the extensive damage caused in Ukraine; emphasises that all initiatives aimed at ending the conflict must have the support of Ukraine and, ultimately, its people;

    15. Calls on the VP/HR to mobilise more diplomatic support for Ukraine and the sanctions imposed on Russia, using the full spectrum of the diplomatic toolbox, and encouraging EU Member States to consider imposing secondary sanctions; deplores the fact that some components of Western origin have been found in weapons and weapon systems used by Russia against Ukraine, and calls for the EU and its Member States to implement sanctions more rigorously;

    16. Strongly condemns the role that North Korea plays in aiding Russia’s war of aggression against Ukraine through the training of North Korean troops and their deployment to Russia to directly participate in the war or support the Russian Armed Forces; also condemns, in the strongest possible terms, North Korea’s supply of military equipment and weaponry actively deployed on the battlefield, and its involvement in sanctions evasion; considers North Korea’s actions a blatant violation of international norms and warns of the dangerous and significant risk of escalation that they pose to Europe and the broader international community; underlines, with serious concern, the risk that North Korea is using the battlefield in Ukraine as a platform to study advanced combat tactics, including drone warfare, with the intention of applying these techniques in potential future conflicts; expresses its outrage at the fact that several other rogue states are actively supporting Russia’s war of aggression against Ukraine, including Iran, among others; condemns, in this regard, Iran’s transfer of Shahed drones, ammunition and ballistic missiles to Russia, heightening the risk of potential military intervention by the Islamic Revolutionary Guard Corps (IRGC) in Russia’s war of aggression against Ukraine; firmly believes that the EU and the international community must firmly respond to this with a combination of diplomatic, military and economic measures, and, most importantly, by providing increased support to Ukraine to strengthen its defence against this alliance of rogue states that Russia has built up; underlines the importance of closely liaising with the 2025-2029 US Administration in this regard;

    17. Stresses the importance of the EPF, which has been instrumental in supporting the provision of military capabilities and training to the Ukrainian Armed Forces, while facilitating coordination for all stakeholders through the clearing house mechanism within the EU Military Staff; welcomes the establishment of the dedicated Ukraine Assistance Fund under the EPF and calls for an increase in financial resources for military assistance to Ukraine through this instrument, while also providing a medium-term financial perspective; urges the Hungarian Government to immediately cease its efforts to hinder the EU’s actions in support of Ukraine and to lift its veto on the extension of the EU’s sanctions renewal period and the EPF military support to Ukraine, including the agreed reimbursement to EU Member States for the military aid they have delivered; expresses its deep concern that the veto by the Hungarian Government has blocked the opening of a new tranche of expenditure to support the Ukrainian Armed Forces and has prevented the release of EUR 6.6 billion in partial reimbursement to the EU Member States providing military support to Ukraine; urges the Council and the VP/HR to find innovative solutions capable of lifting these blockages and offsetting these funding cuts; encourages the Member States to develop scenario-based and predictable inventories of military capabilities that can be provided under the EPF to ensure that the short-term provision of capabilities is rapidly sourced from Member States and delivered without delay, and that the long-term provision of capabilities that assist Ukraine in restoring deterrence is provided in a foreseeable time frame, in coordination with non-EU countries, when necessary; appreciates that all military assistance and weapon deliveries under the EPF have been in full compliance with the EU Common Position on arms exports, international human rights law and humanitarian law, while ensuring adequate transparency and accountability;

    18. Highlights the outcome of the NATO Washington Summit, which reaffirmed that Ukraine’s future is in NATO and that the alliance supports Ukraine’s right to choose its own security arrangements and decide its own future, free from outside interference; concurs that both the EU and NATO have demonstrated political unity in solidarity with and commitment to supporting Ukraine; reiterates its belief that Ukraine is on an irreversible path to NATO membership; welcomes the allies’ pledge of long-term security assistance for the provision of military equipment, assistance and training for Ukraine; recognises the crucial role of NATO, EU-NATO cooperation and NATO allies such as the US and the UK, in coordinating efforts to support Ukraine militarily not only through the supply of weapons, ammunition and equipment, but also intelligence and data;

    19. Welcomes the Council’s decision of 21 May 2024, ensuring that the net profits stemming from extraordinary revenues generated by immobilised Russian Central Bank (RCB) assets in the EU, as a result of the implementation of the EU restrictive measures, are used for further military support to Ukraine, as well as its defence industry capacities and reconstruction; also welcomes the agreement reached with the Council, which led to the Council’s decision of 23 October 2024 to adopt a financial assistance package, including an exceptional macro-financial assistance loan of up to EUR 35 billion and the establishment of a Ukraine Loan Cooperation Mechanism that will use contributions raised from the profits of immobilised RCB assets and support Ukraine in repaying loans of up to EUR 45 billion from the EU and its G7 partners; recalls, however, that the mobilisation of this financial assistance will be at the expense of the sum earmarked for EU military support via the Ukraine Facility, which will now only benefit from a maximum of 15 % of the profits from the immobilised RCB assets;

    20. Welcomes the achievements of the EU Military Assistance Mission in support of Ukraine (EUMAM), which, to date, has trained more than 70 000 Ukrainian soldiers on EU territory, thereby making the EU the biggest provider of military training to Ukraine and significantly contributing to enhancing the military capability of the Ukrainian Armed Forces; takes note of the new goal of training 75 000 Ukrainian soldiers by the end of winter 2024/2025; welcomes the Council’s decision of 8 November 2024 to extend the mandate of the mission for two years; calls for EUMAM’s financial, logistical and human resources to be expanded and adapted to the evolving military training needs of the Ukrainian Armed Forces, including in the air and maritime defence domains, as well as to the requested long-term reform efforts in line with the joint security commitments between the EU and Ukraine; welcomes the Member States’ strong participation in EUMAM, which can be described as a template for future military training missions, advancing deterrence by significantly enhancing interoperability between Member States and partners, and calls on the Member States to demonstrate similar ambition and contributions to other current and future CSDP missions and operations; emphasises that EUMAM should also act as a platform for the exchange of best practices to ensure that European forces also benefit from the lessons learnt on the battlefield by the Ukrainian Armed Forces; welcomes the launch of the NATO Security Assistance and Training for Ukraine (NSATU), announced at the NATO Washington Summit, which coordinates the provision of military training and equipment for Ukraine by NATO allies and partners and provides logistical support; stresses the importance of close coordination between EUMAM and NSATU;

    21. Commends the work of the European Union Advisory Mission Ukraine (EUAM) in implementing, in difficult conditions, its newly reinforced mandate; calls for the EU to ensure that EUAM can operate with the adequate financial, logistical and expert personnel to meet Ukraine’s needs, and welcomes the participation of non-EU countries in this regard; stresses the importance of EUAM and its role as the largest EU footprint on the ground, providing strategic advice to Ukraine’s national and state security authorities; highlights EUAM’s key tasks in combating organised and cross-border crimes, restoring public services in liberated territories and supporting the investigation and prosecution of international crimes, building on EUAM’s presence and expertise;

    22. Stresses the importance of cooperation with and the gradual integration of the Ukrainian defence industry into the EU’s defence technological and industrial base (EDTIB) and, to this end, calls for Ukraine’s defence to be fully taken into account in the preparation of the Commission’s new legislative initiatives aimed at strengthening the EDTIB; stresses that concrete steps should be taken towards Ukraine’s integration into EU defence policies and programmes during Ukraine’s EU accession process, including by adapting the Ukrainian Armed Forces to EU capability requirements and involving them in cross-border defence industrial and technological cooperation projects and programmes; welcomes, in this respect, the opening of the EU Defence Innovation Office in Ukraine to identify Ukrainian needs and capacities in defence innovation, facilitate joint initiatives and promote cross-border cooperation between EU and Ukrainian defence industry stakeholders, and to be a focal point for Ukrainian partners, as well as a coordination and information hub; welcomes the ongoing initiatives of several EU Member States to deepen cooperation with Ukraine in the field of defence research and industrial production, and calls for further use of Ukraine’s innovative defence potential to develop weapons and ammunition and to accelerate their production in close cooperation with the EU and other Western partners, using available support mechanisms; calls on the military industries of EU Member States to honour their commitment to establish military production on Ukrainian territory;

    23. Emphasises the need to strengthen demining capabilities within Ukraine to address the widespread presence of unexploded ordnance and landmines, as well as to demine Ukraine’s seawaters in the Black Sea; advocates the allocation of dedicated resources to support comprehensive demining training, including advanced detection and disposal techniques; notes that enhanced demining capacity will not only facilitate safer military operations, but also support the recovery and safety of civilian areas affected by the war;

    Joining forces to increase defence capabilities

    24. Welcomes the ambition set out in the EDIS to achieve the defence readiness of the EU and its Member States and to boost the EDTIB; considers the Commission’s proposal to establish a European defence industry programme (EDIP) vital in that regard; supports the objectives of strengthening EU defence industrial preparedness, improving joint defence planning and further facilitating joint procurement by the Member States in line with the priorities set out in the capability development plan (CDP) and the areas for cooperation identified in the coordinated annual review on defence in order to launch European defence projects of common interest, in particular in strategic capability areas, such as air and missile defence, as well as to ensure security of supply and access to critical raw materials and to prevent shortages in defence production; strongly supports the idea of predominantly using EU-level cooperation in the European defence industrial sector, and supports the concrete quantified targets for cooperation presented in the EDIS, which focus in particular on joint procurement, specifically, inviting the Member States to procure at least 40 % of defence equipment in a collaborative manner by 2030, to ensure that, by 2030, the value of intra-EU defence trade represents at least 35 % of the value of the EU defence market, and to procure at least 50 % of their defence investments within the EU by 2030 and 60 % by 2035;

    25. Highlights the importance of the permanent structured cooperation (PESCO) for improving and harmonising the EU’s defence capabilities; notes again, with regret, that the Member States continue not to make full use of the PESCO framework and that tangible results within the currently 66 ongoing projects remain limited; further notes with regret the lack of information provided to Parliament about the reasons for the closure of six projects and their possible results; points out that the participating Member States agreed to 20 binding commitments in order to fulfil the EU’s ambition in defence; considers it necessary to conduct a thorough review of PESCO projects with regard to results and prospects, with a view to streamlining the current set of projects to a small set of priority projects while closing projects that lack sufficient progress; suggests establishing a priority scheme within PESCO in order to effectively address the identified capability gaps and priorities;

    26. Welcomes the Commission’s proposal for an EDIP; notes with concern the assessment of the European Court of Auditors that the financial envelope of the EDIP is insufficient given its objectives, and therefore reiterates its call to ensure the required funding for defence; stresses that substantial budgetary efforts will be necessary for the EDIP to have a significant effect on military support for Ukraine, the development of a genuine EU defence capability and a competitive EDTIB; welcomes the 2023 revision of the CDP; regrets the limited progress made on capability development since the adoption of the first CDP in 2008; calls on the Member States to significantly increase joint efforts to achieve timely substantial progress by making full and coherent use of EU instruments, including the European Defence Fund (EDF), PESCO and the coordinated annual review on defence, as well as the instruments put forward in the EDIP proposal;

    27. Welcomes the joint efforts undertaken thus far to strengthen the EU’s defence readiness through measures reinforcing and supporting the adaptation of the EDTIB, notably through the EDIRPA and ASAP regulations, and calls for their swift implementation; regrets that the financial envelope of EDIRPA remains limited and points out that the role of ASAP in relation to the ambition of supplying Ukraine with one million pieces of ammunition was restrained by the Council’s objection to its regulatory elements;

    28. Welcomes the efforts and investments made thus far by companies of the EDTIB to reinforce industrial capacity, including with the support of EU instruments; highlights that further and lasting reinforcement of the EDTIB’s capacity requires first and foremost orders by the Member States, which should be conducted jointly in order to ensure the Union’s defence readiness, improve interoperability between Member States’ armed forces and achieve economies of scale, thus making the most of EU taxpayers’ money; calls, accordingly, on the Member States to intensify joint procurement efforts in line with the capability gaps identified in the Defence Investment Gaps Analysis and the capability priorities of the CDP; underlines that effective joint procurement with regard to development projects, especially in the framework of the EDF, requires a joint definition of the military requirements of the respective systems in order to achieve adequate economies of scale; calls on the Commission, in this regard, to draw on the EU Military Committee’s expertise to produce such a joint definition in order to ensure military coherence at the industrial level; calls on the Member States to engage in joint procurement with a view to establishing pan-European value chains by distributing production throughout the Union and thereby increasing the economic attractiveness of joint procurement, while building strategic redundancies into production capacities for greater resilience in the event of an armed conflict; further calls on the Member States and the Commission to aim for a further strengthening of joint procurement mechanisms and sufficient coordination by the European Defence Agency;

    29. Underlines the need to further support the transition of development projects to marketable solutions and welcomes the provision in the EDIP proposal in that regard; deplores the unnecessary and dysfunctional duplication of efforts with regard to the projects on the future main battle tank and the hypersonic interceptor; voices its concern that such duplications counteract the ambition laid out in the EDIS to procure 60 % from the EDTIB by 2035, as scattered resources will extend the time required to achieve marketable solutions, thus most likely leading to procurement from the United States; regrets, similarly, the mounting delays in essential capability projects, notably the Franco-German project on the Main Ground Combat System and the Franco-German-Spanish project on the Future Combat Air System, which also entail the risk of the future procurement of US solutions; stresses that all possible synergies with the EDF should be used, while avoiding the duplication of efforts;

    30. Stresses the need to ensure the coherence of output between respective EU and NATO capability development planning processes; calls for the interoperability of military equipment from EU Member States and NATO Allies to be improved and for industrial cooperation to be fostered by ensuring that future EU legal standards for defence products components and ammunition are based on the NATO standards; stresses that European defence projects of common interest, as defined in the EDIP proposal, should be implemented in close coordination with NATO;

    31. Highlights the vital necessity of overcoming the fragmentation of the EU’s defence industrial landscape and of finally achieving the full implementation of the EU’s internal market for defence products, as the current structure leads to unnecessary duplications and the multiplication of inefficiencies in defence investments and their use, and structurally hampers the strengthening of defence readiness; is concerned that the internal market for defence products is still undermined by insufficiently harmonised application of its rules by the Member States and by disproportionate use of the exemption provided for in Article 346 TFEU; endorses the call for the creation of a true single market for defence products and services, as also presented in Mr Niinistö’s report; emphasises the need for a newly updated and effective regulatory framework aimed at reducing barriers for market entry for defence products, enabling EU defence industrial consolidation and permitting EU companies to fully exploit business potential, encouraging innovation and more and smoother cross-border as well as civil and military cooperation, boosting production, increasing security of supply and ensuring smarter and more efficient public investments in the EDTIB; underlines, at the same time, the importance of maintaining fruitful competition between different competitors and of avoiding oligopolies in which individual providers can freely determine the prices and availability of defence goods; calls on the Commission to present proposals to complete the EU internal market for defence, based, in particular, on an assessment of EU rules for defence procurement and transfer of defence-related products, and on the identification and analysis of limitations and loopholes in the current legal framework; further calls on the Commission to make suggestions for an interpretation of Article 346 TFEU in line with the current reality of an interdependent security architecture in the EU; calls for the implementation of Directive 2009/81/EC on defence and sensitive security procurement[25] and Directive 2009/43/EC on intra-EU transfers of defence-related products[26] (the Transfers Directive) to be improved, and where needed, in the light of the EDIS, for proposals for the revision of these directives to be submitted;

    32. Stresses the importance of ensuring a balanced effort between strengthening the existing armament industrial capabilities of the Member States in the short- and medium-term and supporting research and development (R&D) for new and innovative military equipment and armament tailored to the present and future needs of the armed forces of the Member States and to EU defence capabilities, such as those required by CSDP missions and operations and the EU Rapid Deployment Capacity (RDC); emphasises that priority should be given to keeping and enhancing the technological advantage through targeted strategic projects as a key element in deterrence with regard to our adversaries and competitors; underlines the importance of including all Member States in security and defence strategies, particularly with regard to the development of the defence industry;

    33. Stresses the need to develop an effective EU-level armaments policy that includes the establishment of a functioning and effective external trade dimension, is aimed at supporting partners that face threats by aggressive authoritarian regimes, and prevents arms deliveries to undemocratic aggressive regimes in line with the eight existing EU criteria; stresses the need to overcome the very narrow and national interpretation of Article 346 TFEU in this regard;

    34. Stresses that cooperation with international partners in the defence sector should be limited to like-minded partners and should not contravene the security and defence interests of the EU and its Member States; recalls that dependencies on high-risk suppliers of critical products with digital elements pose a strategic risk that should be addressed at EU level; calls on the Member States’ relevant authorities to reflect on how to reduce these dependencies and undertake an immediate assessment and review of existing Chinese investments in critical infrastructure, including power grids, the transport network and information and communication systems, to identify any vulnerabilities that could impact the security and defence of the Union;

    35. Welcomes the revision of the EU’s Foreign Direct Investment (FDI) Regulation; stresses the need to further strengthen FDI screening procedures by incorporating due diligence standards to identify cases where governments of states hold leverage over investors in EU critical infrastructure, such as European ports, and in undersea cables in the Baltic, Mediterranean and Arctic seas in ways that would contravene the security and defence interests of the Union and its Member States, as established within the framework of the CFSP pursuant to Title V of the TEU; underlines that this approach should also be applied to candidate countries; believes that additional legislation is needed to effectively protect the security of European ICT supply chain from high-risk vendors and protect against cyber-enabled intellectual property theft; calls for the creation of a European framework aimed at closely regulating and setting minimum standards and conditions for the export of intellectual property and technologies that are critical to the security and defence of the Union, including dual-use goods;

    Research and development for defence technology and equipment

    36. Supports a significant increase in investments in defence R&D, with a particular emphasis on collaborative initiatives, thereby strengthening the EU’s technological leadership and competitiveness in defence and ensuring a spillover effect in the civilian marketplace; notes, in this regard, that in 2022, the Member States invested approximately EUR 10.7 billion in defence R&D; underlines that technological advancement in critical domains – air, land, maritime, space and cyber – requires stable long-term investment across the Member States to keep pace with rapid global innovation;

    37. Stresses the need for EU R&D instruments and funding to be used as effectively as possible in order to address capability gaps and priorities in a timely manner as laid out in the Defence Investment Gap Analysis and the CDP; calls, therefore, on the Commission and the Member States to align EDF projects and funding with the EU’s urgent capability needs and prioritise them on this basis, and to focus on the most relevant and promising research activities; further calls on the Commission to initiate a thorough review of the EDF in view of a revised follow-up financial instrument for the next multiannual financial framework (MFF); calls on the Commission and the Member States to adopt an approach that incorporates a low energy, carbon and environmental footprint by design when implementing relevant EU funds and to regularly report on progress; recalls that the R&D actions can be directed at solutions to improve efficiency, reduce the carbon footprint and achieve sustainable best practices; welcomes the relevant investment of EUR 133 million provided for in the first annual work programme, but notes that this represents only 11 % of the overall annual EDF budget; recalls the role of NextGenerationEU in climate action and calls on the Member States to use resources from their national recovery plans to invest in the sustainability of their military infrastructure;

    Dual-use and emerging and disruptive technologies

    38. Stresses the need to develop a more proactive role for the EU in sustaining investment in dual-use technologies, which can be applied in both civilian and military contexts, as a means to enhance the EU’s resilience against hybrid and emerging threats; underlines the need to support, in particular, the testing of prototypes of new products and to focus on new technologies in close cooperation with Ukrainian defence and technological actors; underlines the importance of ensuring the financial viability of companies, including small and medium-sized enterprises (SMEs), that invest in such innovation; advocates the promotion of civilian commercialisation of these technologies as a way to expand market opportunities and strengthen the European industrial base, fostering synergies between military and civilian development;

    39. Highlights the important role that emerging disruptive technologies, such as artificial intelligence, quantum computing, cloud computing and robotics, play in defence; stresses that the development and harnessing of these technologies in defence require further EU-coordinated investment and research efforts so that the defence equipment suppliers in the EU remain at the forefront of innovation; notes that under the current EDF Regulation, with its long implementation cycles, the Commission fails to provide funding to research projects in a timely manner; calls, therefore, for a more flexible and faster approach for research projects on emerging disruptive technologies, reflecting the increasing pace of developments in that field building on the work of the European Defence Agency’s Hub for European Defence Innovation and drawing on the work of the US Defence Advanced Research Project Agency; further calls for the EU to play a leading role in promoting research into the military applications of artificial intelligence and in establishing governance frameworks for the responsible development and use of this technology;

    40. Reiterates its call on the Commission to share with Parliament a detailed analysis of the risks linked to the misuse, by our adversaries, of technologies such as semiconductors, quantum computing, blockchains, space, artificial intelligence and biotechnologies, including genomics, as well as the list of proposed EU actions in these fields, in line with the EU’s economic security strategy; is concerned about the role of Chinese military-linked companies in gathering the genetic data of EU citizens;

    Defence SMEs

    41. Reiterates that defence-related SMEs from across the Union are the backbone of the European defence industry and supply chains and are key to innovation in these areas, and emphasises the need to provide support to SMEs and start-ups, in particular, in the defence and dual-use sector; stresses that the EDIS and the EDIP must ensure a level playing field for all defence industry actors across the Union and promote cooperation between bigger and smaller companies from all Member States, ensuring that the industry will not be dominated by some large companies from a limited number of Member States; encourages the Member States to provide special opportunities for SMEs in the European defence sector to participate in the bidding process through such measures as creating a pre-approved list of companies to facilitate a faster engagement process, introducing private equity firms that invest in SMEs into the procurement process, assisting SME growth through incubation and capital investment, reducing the complexities of bidding for contracts, and implementing internal measures to reform the amount of time taken to process contract details;

    Military mobility

    42. Highlights the importance of developing, maintaining and protecting the infrastructure necessary to ensure the rapid and efficient military mobility of our armed forces across the Member States; underlines the need to ensure the resilience of critical infrastructure that allows military mobility and the provision of essential services; recognises that military logistics can contribute to deterrence by signalling the EU’s overall military preparedness;

    43. Underlines the urgent need to substantially enhance and invest in military mobility, prioritising investments and removing bottlenecks and missing links; stresses, in this regard, the importance of swiftly implementing projects and regulatory measures in accordance with the EU Action Plan on Military Mobility 2.0; supports new strategic investments in civil and military infrastructure, such as ports, airports and highways, which will also allow the smooth transfer of military units and supplies, including rapid reaction forces, heavy equipment, goods and humanitarian aid;

    44. Calls on the Commission to develop an integrated approach to military mobility and logistics that ensures that the Council’s pledge to remove all remaining barriers by 2026 is upheld, and that coincides with much higher EU investment in key aspects of military mobility; further calls for the appropriate EU funding for ongoing and necessary military mobility projects to be secured in the next MFF; calls on the Member States to take further action to simplify and harmonise procedures for military mobility and shorten the timelines for granting permissions so that the Member States can act faster and increase their efficiency of response, in line with their defence needs and responsibilities, both in the context of CSDP missions and operations and in the context of national and multinational activities; encourages the Member States to use the third-country PESCO agreement on military mobility as a template for partner country participation, with an emphasis on tailoring PESCO projects to CSDP mission needs;

    An updated Strategic Compass: promoting a common strategic vision and coherence, and improving EU decision-making on defence issues within the EU institutional framework

    Strategic Compass

    45. Stresses that geopolitical developments and threats have continued to evolve rapidly since the Strategic Compass was adopted by Member States in March 2022; calls, therefore, for a review of the comprehensive joint threat assessment enshrined in the Strategic Compass, from which priorities for EU action should derive; believes that this review exercise should serve to define common views on Europe-wide capability gaps, which should be addressed via bilateral, multinational or EU-level programmes, funds, projects and instruments, and set out the timeframe within which this should be done; calls, furthermore, for the Commission and the VP/HR to present updated measures for the Strategic Compass following this review exercise, if necessary, and for this to inform the preparation of the white paper on the future of European defence; reiterates that the Strategic Compass’s ambitious aims and milestones can only be achieved with corresponding political willingness and action on behalf of the Member States and the EU institutions; stresses the need for coherence and compatibility between the Strategic Compass and NATO’s Strategic Concept;

    46. Calls on the Commission and the EEAS to ensure that the Climate Change and Defence Roadmap is fully implemented and is improved within the context of updated measures under the Strategic Compass; calls for the timeframes for reviewing the Roadmap to be reconsidered and, in particular, for the overall objectives to be reviewed much earlier than 2030; calls on the Member States to develop national structures in support of the objectives; urges the VP/HR to propose to the Member States an action programme composed of priority actions presented in the Roadmap that can be implemented in the short term;

    Defence governance: consolidating the EU institutional framework and decision-making process in defence and security fields

    47.  Suggests that the Council review the institutional settings of its decision-making bodies competent for defence and security, and consider setting up a new permanent decision-making body made up of ministers of defence from Member States, without prejudice to the respective distribution of competences within national ministries in this regard;

    48. Stresses that effective EU-level cooperation in the field of security and defence and swift, coordinated responses to security challenges require coherence between the different structures of the Council and the Commission; stresses, furthermore, the need to prevent overlaps, guarantee efficient public investments, address critical capabilities gaps and develop coherent security strategies with respect to partners, third countries and various regions of the world, both in policymaking processes and in current and future initiatives; notes the unclear division of portfolios and the potential overlap of competences among commissioners in the field of security and defence following the creation of the position of Commissioner for Defence and Space, and therefore calls on the Commission to clearly delineate the competences of the commissioners in this field; invites the Commission to carry out an internal review of its various structures, including the Directorate-General for Defence Industry and Space (DG DEFIS) and the European Defence Agency, and of their mandates in order to ensure complementarity and the efficient administration of current and future initiatives under the CSDP; calls on the Member States and the Commission to dedicate further financial and human resources to the EEAS to ensure that it can effectively perform its role as the EU’s diplomatic service in the light of the highly competitive geopolitical context and the increased demands on its limited capacities in recent years;

    49. Reaffirms that, in order to become a credible geopolitical player, the EU should reform its process for decision-making on the CFSP/CSDP and underlines, in this regard, that institutional reflections on lifting the requirement for unanimity in this process should be considered; recalls that the EU Treaty framework already allows a number of different institutional forms of cooperation in the field of foreign, security and defence policy and notes with regret that the potential for fast action in this field, as provided for in the ‘passerelle clauses’ of the TEU, has been used only in a very limited manner; calls on the Council to consider all possibilities to strengthen and deepen its process for decision-making on the CFSP/CSDP with a view to realising the untapped potential within the Treaties; reiterates its call for the Council to gradually switch to qualified majority voting for decisions on the CFSP and CSDP, at least in those areas that do not have military implications; suggests, furthermore, that the Council pursue making full use of the ‘passerelle clauses’ and the scope of articles that enhance EU solidarity and mutual assistance in the event of crises;

    50. Strongly reiterates its call to strengthen the EU Military Planning and Conduct Capability (MPCC) and achieve its full operational readiness, including through the provision of adequate premises, staff, enhanced command and control, and effective communication and information systems for all CSDP missions and operations; stresses the need to achieve timely results with regard to the MPCC, given the ambition of the Strategic Compass that the MPCC should function as the EU’s preferred command and control structure and be capable of planning and conducting all non-executive military missions and two small-scale or one medium-scale executive operation, as well as live exercises; stresses the need for the MPCC to facilitate synergies between civil and military instruments and calls for joint civil-military headquarters combining civil and military instruments to be set up at European level in the longer term, in order to make full use of the EU’s integrated approach in crisis management right from the strategic planning phase to the actual conduct of the mission or operation; takes the view that the EU’s Civilian Planning and Conduct Capability (CPCC) should consider how to protect a deployed force against multiple hybrid threats and conduct advanced operations at a far higher level of risk than in current contexts; calls on the Commission, the EEAS, the MPCC, the CPCC, the EU Military Committee and the EU Military Staff to foster a new culture of understanding between civilian and military partners, develop interagency cooperation and ensure the transfer of best practices in mission planning and the associated concepts, including by developing a model for generating and sharing best practices;

    51. Reiterates its full support for the Rapid Deployment Capacity (RDC) to achieve full operational capability in the first half of 2025 at the latest, with at least 5 000 troops available for rescue and evacuation tasks, initial entry and stabilisation operations or the temporary reinforcement of missions; notes that EU Battlegroups, which have never been deployed despite being operational since 2007, will be an integral part of the wider EU RDC framework; welcomes the planning and realisation of live exercises within the framework of the RDC and encourages the continuation of such initiatives;

    52. Considers the RDC to be a key element for achieving the EU’s level of ambition and believes that additional troops and force elements should gradually be assigned to it, with reference to the Helsinki Headline Goal of 1999; believes that it would make sense to use the White Paper process to launch a discussion about the creation of additional permanent multinational EU military units that could fulfil complementary tasks to the RDC; highlights the need to engage further with NATO on the establishment of the RDC, in line with the principle of the single set of forces;

    53. Reiterates its call on the Member States to consider the practical aspects of implementing Article 44 TEU during the operationalisation of the RDC, as well as in other relevant CSDP missions, in order to enable a group of willing and capable Member States to plan and carry out a mission or operation within the EU framework, thereby facilitating the swift activation of the RDC; calls on the Member States to commit to substantially narrowing critical gaps in strategic enablers in a timely manner, in particular those linked to the RDC, such as strategic airlift, secure communications and information systems, medical assets, cyber-defence capabilities and intelligence and reconnaissance; calls on the Commissioner for Defence and Space to consider including, in his proposed European defence projects of common interest, initiatives aimed at providing the necessary strategic enablers that would facilitate CSDP missions and operations and the RDC;

    Increasing resources dedicated to the EU common security and defence policy

    54. Welcomes the increased budgets and investment in defence by Member States and the increase, albeit modest, in the EU budget for the CSDP in 2024; strongly believes that, in the light of unprecedented security threats, all EU Member States should urgently reach a level of defence spending, as a proportion of their GDP, that is significantly higher than NATO’s current target of 2 %; acknowledges that 23 of the 32 NATO Allies, including 16 countries that are members of both the EU and NATO, were expected to meet NATO’s spending target of devoting 2 % of their GDP to defence expenditure by the end of 2024; points out that this has increased sixfold since 2014, when this target was pledged; notes that the EU’s current budget for security and defence given the current geopolitical upheaval and Russia’s war of aggression against Ukraine, is not equal to the challenges to be met in the short and long term; recommends, in the light of the estimated need for EUR 500 billion of defence investment by 2035 and on the basis of continuous analysis of capability needs and gaps, that the Member States further increase defence investments, in particular for the joint procurement of defence capabilities, and fully supports the targets set under the EDIS in this respect;

    55. Calls on the Commission and the Member States to initiate an open discussion on the basis of among other things, the recommendations presented in the reports by Mr Draghi and Mr Niinistö, including increasing the resources allocated to security and defence in the next MFF and exploring all effective funding options to this end, and pooling parts of national defence budgets at EU level in order to generate economies of scale; further calls on the Member States to amend the EPF financing process to ensure adequate and sustainable support for partners and allies, while also aligning with CSDP missions and operations; calls for a strategy to be devised with the aim of creating centres of excellence in different regions of the EU, without duplicating NATO’s work in these fields, in order to promote innovation and the participation of all Member States, ensuring that the capabilities and specialised knowledge of each Member State contribute to a more cohesive and integrated defence industrial base;

    56. Recalls that the EU’s objectives of solidarity, cohesion and convergence also apply to defence; stresses that the financial means needed to rebuild and expand our defence capabilities in the decade to come will have a significant impact on the soundness and sustainability of public finances, and therefore requires cooperation and coordination at EU level through a genuine defence economic policy; underlines that increases in defence investment should not compete with other investment priorities, including social cohesion; further recalls that financing orientations should be anchored in a whole-of-society approach to resilience and therefore need to be broadly supported by European citizens, and that this support needs be sustainable in the long term; stresses that the financial burden must therefore be shared fairly, especially by profitable companies that already benefit from public participation or state aids; emphasises, furthermore, that public spending should be complemented by increased private funding; calls on the Commission to reflect upon possible fiscal avenues that would allow a fairer distribution of the financial burden and limit competition disturbances in the EDTIB induced by state aids and market-distorting tendering processes;

    57. Calls for the next MFF to genuinely provide the means for a defence union; supports proposals to provide massive EU financial investment in European defence and to stimulate research and technological innovation and dual-use projects in the European defence industry, thereby strengthening its competitiveness and promoting advances that contribute both to security and to sustainable economic growth; underlines that defence investment from the EU budget should only complement, but not replace, financial efforts by the Member States, especially with regard to the ambition of countries that are members of both the EU and NATO to invest 2 % of their GDP in defence; invites the Member States to bring forward the re-assessment of the scope and definition of common costs, to enhance solidarity and stimulate participation in CSDP military missions and operations, and of exercise-related costs, in line with the Strategic Compass;

    58. Is concerned about the lack of much-needed private financing for the EDTIB, particularly for SMEs, which may derive from a lack of long-term government contracts or from an overly narrow interpretation of environmental, social and governance criteria;  welcomes, therefore, the clarification provided by the European Securities and Market Authority on 14 May 2024 to the effect that only companies involved in weapons banned under international law are automatically excluded from accessing funds; welcomes the proposals made in Mr Niinistö’s report to avoid fragmentation in defence spending, combine relevant funding streams and trigger more private-sector investment; calls on the Commission to assess the recommendations and come up with concrete proposals; highlights the need for the defence industry to get better access to capital markets;

    EIB lending policy for the defence sector

    59. Stresses the importance of access for the defence sector to the loans provided by the EIB as a catalyst for private investment in the European defence industry; welcomes the further extension of the EIB’s eligibility criteria to dual-use goods and calls on the EIB to take further measures in this regard; stresses that given that the EIB’s objective of promoting the development of the EU and supporting its policies, in particular defence policy and the strengthening of the EDTIB, in line with Article 309 TFEU, the EIB should further review its lending policy and continuously adapt it; calls on the EIB to conduct a review of the impact of the extension of its dual-use goods policy and to reform its eligibility list as appropriate so that ammunition and military equipment that go beyond dual-use application are no longer excluded from EIB financing; welcomes the EIB’s 2022 Strategic European Security Initiative aimed at supporting dual-use research, development and innovation, security infrastructure and technology projects focused on cybersecurity, New Space, artificial intelligence and quantum technologies; 

    Contributing more effectively to global security through EU common security and defence policy and strengthening the role of the EU as a security actor

    De-escalation, preventing wars and supporting conflict resolution

    60. Expresses its very strong concern about and condemnation of China’s support to Russia in its war of aggression against Ukraine, in particular through cooperation with Russia’s military industrial and technological base, the exportation of dual-use goods to Russia and the ongoing involvement of China-based companies in sanctions evasion and circumvention; expresses, in this regard, serious concern about recent reports claiming that China is producing long-range attack drones for use by Russia in its war of aggression against Ukraine, and demands that if China continues to support Russia’s armament efforts, this must have serious consequences for the EU’s external policy towards China; deplores the ‘no limits’ partnership between Russia and China and expresses serious concern about the renewed commitment by China and Russia to further strengthen their ties; welcomes the Council’s decision to impose sanctions on Chinese companies for their support for Russia’s war in Ukraine;

    61. Is deeply concerned about China’s increasing investments in military capabilities and the militarisation of its supply chains to bolster its industry while taking advantage of the political and economic opportunities created by Russia’s war of aggression against Ukraine; is also deeply concerned about the effect that European dependencies on China have on the credibility of the Member States’ ability to safeguard their national security and of the ability of the EU as a whole to effectively criticise and counter China’s economic coercion, possible further escalation with Taiwan and support to Russia; calls on the Commission and the Member States to seriously implement a policy of ‘de-risking’ with the aim of managing the risks coming from economic and technological engagement with China; calls, in this regard, for the risks posed by Chinese suppliers in EU critical infrastructure to be addressed, and for no EU funds or subsidies to be directed to advancing the position of these suppliers in Europe;

    62. Strongly condemns China’s unwarranted military exercises of 14 October 2024 around Taiwan; condemns, furthermore, the increasing number of hostile acts being conducted by China against Taiwan, including cyberattacks, influence campaigns, the entry of Chinese warplanes into Taiwan’s Air Defence Identification Zone and the severing of subsea cables; reaffirms its strong commitment to preserving the status quo in the Taiwan Strait and underscores that any attempt to unilaterally change it, particularly by means of force or coercion, will not be accepted and will be met with a decisive and firm reaction; lauds the restraint and disciplined reaction of the Taiwanese authorities and calls on the Chinese authorities to exercise restraint and avoid any actions that may further escalate cross-strait tensions; calls for regular exchanges between the EU and its Taiwanese counterparts on relevant security issues and for stronger cooperation on countering disinformation and foreign interference; stresses that any escalation in the Taiwan Strait would have detrimental effects on Europe’s security and economy and therefore urges the Commission to start developing contingency planning and mitigation measures on the basis of likely escalation scenarios, such as an economic blockade of Taiwan by China;

    63. Expresses deep concern at China’s increasingly aggressive actions in the South China Sea and in the Indo-Pacific region, namely its use of military and economic coercion, hybrid warfare tactics, dangerous manoeuvres conducted by its navy and coast guard against its neighbours and island-building, in order to advance unlawful maritime claims and threaten maritime shipping lanes; points to reports that a Chinese-linked ship cut a Taiwanese undersea cable in early January 2025 and calls for a thorough investigation into the matter; calls, furthermore, for Taiwan and the EU to share information about such incidents; reiterates its strong interest in and support for freedom of navigation and maritime security everywhere, and notably in the South China Sea; calls on the Chinese authorities to put an end to all aggressive and provocative actions, in particular air and maritime operations in the Taiwan Strait and the South China Sea, that endanger stability in the Indo-Pacific region and thereby undermine international peace and security, the sovereignty of countries in the region, the safety of life at sea and freedom of navigation in full compliance with UNCLOS; applauds the increase in freedom of navigation exercises conducted by several EU countries, including France, the Netherlands and Germany; notes that these activities are in line with international law and calls for more cooperation and coordination with regional partners, including through Coordinated Maritime Presences in the north-western Indian Ocean, among other areas, in order to increase freedom of navigation operations in the region;

    64. Remains concerned about the political and economic pressure being exerted by China and Russia in Central Asia and stresses the need to scale up the EU’s presence in the region in response; underlines the EU’s interest in strengthening security cooperation, economic relations and political ties with the countries of Central Asia, including in order to address the circumvention of sanctions against Russia and Belarus;

    65. Condemns Iran, in the strongest terms, for its destabilising activities in the Middle East region, including through its proxies, and for its continued support for terrorist groups, which pose a direct threat to regional, European and global security; condemns the growing military cooperation between Iran and Russia, in particular their intention to sign a treaty on a comprehensive strategic partnership; expresses, however, full support for and solidarity with Iran’s civil society and democratic forces and calls for increased international efforts to support these groups in their struggle for freedom and human rights; welcomes the EU’s decision to renew sanctions against Iran until July 2025, including by sanctioning Iran’s production of drones and missiles and its supply thereof to Russia and the wider Middle East region; points out that the sanction options that have not yet been exhausted include a much more restrictive approach to technology transfers through exports of products that are not categorised as dual-use;

    66. Unequivocally condemns the Iranian Government for aiding and abetting internationally recognised terrorist organisations and networks that have perpetrated or attempted attacks within the EU, posing a direct threat to European security, sovereignty and stability; recalls, in this respect, that the Islamic Revolutionary Guards Corps has been involved in planning and carrying out dozens of assassinations and terrorist attacks, including on EU soil, over the past 30 years and, more recently, in attacks against Jewish synagogues and individuals, as well as against Israeli embassies in several Member States; urges the EU and the Member States to enhance intelligence-sharing and counter-terrorism measures to prevent any future attacks; reiterates its long-standing call to add the Islamic Revolutionary Guard Corps to the EU list of terrorist organisations and supports the initiatives taken by some Member States in this regard;

    67. Considers Iran’s nuclear weapons programme to be one of the foremost threats to global security and stresses that if Iran succeeds in acquiring a nuclear breakout capability, it risks intensifying in belligerence and stepping up its state sponsorship of terrorism and proliferation of missiles and drones;

    68. Reiterates its condemnation, in the strongest terms, of the despicable terrorist attacks perpetrated by the terrorist organisation Hamas against Israel on 7 October 2023, which contributed to further destabilisation in the Middle East, intensified by aggressions against Israel by Iranian proxies (such as terrorist organisations including Hezbollah in Lebanon and the Houthis in Yemen) and the Iranian regime itself; reiterates that Israel has the right to defend itself, as enshrined in and constrained by international law; calls for the immediate and unconditional release of all remaining hostages held by Hamas; calls for all parties to put an immediate end to all hostilities and fully abide by international law, including international humanitarian law; welcomes the recent ceasefire in Gaza and the progress made towards the phased release of hostages; emphasising that this represents a significant step in relieving the immense suffering endured by civilians on both sides over the past months; praises the commitment of mediators, including the United States, Egypt and Qatar, whose efforts were pivotal in achieving this breakthrough; considers that it is crucial that all obligations made under the deal are upheld, ensuring the release of all hostages, establishing a lasting cessation of violence and allowing unrestrained access of humanitarian and medical assistance to the Gaza Strip; calls for all parties to fully commit to their obligations and to prioritise the protection of civilians; urges all European and international actors to actively oversee the implementation of the ceasefire and hold accountable those who fail to comply with it;

    69. Expresses its deep concern regarding the military escalation in the Middle East, which contributes to further destabilisation in the region; deplores the unacceptable number of civilian casualties, the forced displacement caused by the escalating violence and the persistent use of military force; expresses serious concern, furthermore, about the ongoing military action by the Israeli Defence Forces in the Gaza Strip and in the West Bank; condemns the Israeli Defence Forces firing on the United Nations Interim Force in Lebanon (UNIFIL), which is a grave violation of international law; reaffirms the essential stabilising role played by UNIFIL, to which 16 Member States contribute, in southern Lebanon; calls for immediate ceasefires in both Gaza and Lebanon, an end to the hostilities, the full and symmetrical implementation of UN Security Council Resolution 1701(2006) and the protection of the civilian populations; stresses the need for the EU and other international actors to assume greater responsibility and assist governments and civil society organisations in the Middle East with reaching durable and sustainable peace, in particular by continuing to support a two-state solution between Israel and Palestine, as well as by countering terrorism and radicalisation in the region; underscores that the evolution of conflicts in the region has repercussions on neighbouring regions and on Europe and poses security challenges for the EU with regard to the future of deterrence, humanitarian law and crisis management;

    70. Urges the Council and the Member States to designate Hezbollah, in its entirety, as a terrorist organisation and to push for its full disarmament in line with UN Security Council Resolution 1701(2006); highlights recent decisions taken by several states, including the United States and Canada, to list Samidoun as a terrorist organisation acting as proxy of the Popular Front for the Liberation of Palestine; stresses that Samidoun was banned in Germany in 2023 and calls on other EU Member States to take similar measures by banning the organisation within their territory;

    71. Notes that the Jordan-Syria border is being used as a crossing point for arms and drug trafficking; emphasises the need for the EU to further support Jordan, which has been weakened by the current crisis in the Middle East, and calls for the increased use of the EPF protect the Jordan-Syria border;

    72. Recognises that Türkiye is a country of strategic relevance for the EU; notes that Türkiye is increasingly present in areas where the EU has key security interests and CSDP missions and operations, and notes with regrets the role that Türkiye plays in destabilising certain areas of concern for the EU and in its neighbourhoods; points out Türkiye’s illegal activities against the EU’s interests in the eastern Mediterranean, which violate international law, including UNCLOS; reiterates its condemnation of the signature of the memoranda of understanding between Türkiye and Libya on comprehensive security and military cooperation and on the delimitation of maritime zones, which are interconnected and are clear violations of international law, the relevant UN Security Council resolutions and the sovereign rights of EU Member States; deplores the fact that Türkiye undermines the effectiveness of EU sanctions against Russia and reiterates its call on Türkiye to fully align with these; calls on Türkiye to refrain from undermining EU CSDP missions and operations; reiterates its call on Türkiye to fulfil its obligation regarding the full, non-discriminatory implementation of the Additional Protocol to the Ankara Agreement with respect to all Member States, including the Republic of Cyprus;

    73. Deplores the fact that despite de-escalation efforts, Türkiye continues to retain the threat of casus belli against Greece and to illegally occupy the northern part of the Republic of Cyprus; strongly condemns Türkiye’s illegal activities in Cyprus, including its violation of the status of the buffer zone, its increasing militarisation of the occupied areas of the Republic of Cyprus and its efforts to upgrade the secessionist entity in the occupied area of Cyprus in violation of international law, noting that these activities that are not conducive to the resumption of the UN-led negotiations; condemns Türkiye’s continuous violations of UN Security Council resolutions 550(1984) and 789(1992), which call on Türkiye to transfer the area of Varosha to its lawful inhabitants under the temporary administration of the UN by supporting the opening of the town of Varosha to the public; strongly urges Türkiye, once more, to reverse its illegal and unilateral actions in Varosha; further calls on Türkiye to withdraw its troops from Cyprus;

    74. Calls urgently for the resumption of negotiations on the reunification of Cyprus under the auspices of the UN Secretary-General and reaffirms its unconditional support for Cyprus in resolving the issue; calls on Türkiye to accept a fair, comprehensive and viable solution to this issue;

    75. Calls for the EU to play a significant role in the Mediterranean and to become a security actor with the ability to guarantee the stability of the region and respect for international law and UNCLOS; welcomes, in this regard, the appointment of a Commissioner for the Mediterranean, working under the guidance and political steering of the VP/HR; stresses the need for the VP/HR, in cooperation with the Commissioner for the Mediterranean where necessary and in consultation with Member States, to develop a coherent security strategy with regard to the Mediterranean region and its neighbouring countries, including in North Africa, the Levant and the Sahel; calls for enhanced cooperation with partner countries in the Mediterranean to combat extremism, terrorism, the illicit trade in weapons and human trafficking;

    76. Notes with concern the violations of migrants’ fundamental rights in Libya, as highlighted in UN Security Council Resolution 2755(2024); stresses the need to examine the role of CSDP missions and operations – EUBAM Libya and EUNAVFOR IRINI – in effectively fighting against the smuggling and trafficking of human beings, and their activities in relation to the need to protect  migrants’ fundamental rights;

    77. Notes that the rapid collapse of Bashar al-Assad’s criminal regime in Syria, which has been supported by the Kremlin since 2015, constitutes a significant political defeat for Vladimir Putin and threatens Russia’s strategic and military presence in Syria; recalls that since 2015, the Khmeimim and Tartus military bases have served as key points for Russian power projection in the Middle East and Africa; notes further that the Khmeimim and Tartus military bases were vital for the supply and transport of heavy weaponry and equipment to Russia’s private military companies, such as the Wagner Group and its operations in Libya, Mali, the Central African Republic, and Sudan; stresses that losing military bases in Syria could weaken Russia’s operational capacity and influence in Africa; calls, therefore, for the EU and its Member States to closely monitor the situation in Syria, make ties with the new Syrian regime conditional on Russia’s full withdrawal from the country and prevent Russia from establishing new military bases elsewhere in the region; recognises, in this regard, the EU’s significant leverage with regard to Syria in terms of political recognition, the easing of sanctions, trade agreements, and financial support for reconstruction, positioning the EU as an alternative to Türkiye in shaping Syria’s future;

    78. Expresses its growing concern about and condemns the continuing attempts by Russia to destabilise the countries in the EU’s eastern neighbourhood through the use of FIMI, political assassinations, threats and territorial occupations in a bid to negatively impact their European aspirations and stability; underlines the need to reinforce the EU’s capacities to defend and develop democratic and value-based societies in the countries in the EU’s eastern neighbourhood;

    79. Reaffirms the EU’s commitment to support the sovereignty and territorial integrity of the Republic of Moldova within its internationally recognised borders and the efforts to reach a peaceful, lasting, comprehensive political settlement of the Transnistrian conflict; strongly condemns the constant and coordinated attempts by Russia, pro-Russian oligarchs and Russian-sponsored local proxies to destabilise the Republic of Moldova, sow divisions within Moldovan society and derail the country’s European course through hybrid attacks, the weaponisation of energy supplies, disinformation, bomb threats and staged protests, as well as the threat or use of violence; notes with concern that the Security and Intelligence Service of the Republic of Moldova has reported an unprecedented level of intensity in Russia’s actions aimed at anchoring Moldova within its sphere of influence; underlines that this hybrid threat is targeted at democratic processes and undermines European integration, including by amplifying radical separatist tendencies in the south of the country, particularly in Gagauzia, using propaganda, manipulating the information space, interfering in the electoral process and conducting subversive operations;

    80. Reiterates its calls on Russia to withdraw its military forces and equipment from the territory of the Republic of Moldova, to ensure the full destruction of all ammunition and equipment in the Cobasna depot under international oversight and to support a peaceful resolution to the Transnistrian conflict, in line with the principles of international law; calls for enhanced EU support for Moldova in combating FIMI, hybrid threats and cyberattacks; urges the Member States to increase funding for the EPF to strengthen the defence capabilities of Moldova;

    81. Recognises that Georgia was the first target, in 2008, of Russia’s full-scale military aggression and its attempts to forcefully redraw the borders of a sovereign state in Europe; stresses that since 2008, Russia has persisted in its illegal occupation of and effective control over the occupied regions of Georgia; underlines that Russia’s military presence and significant military build-up in the occupied regions, its unlawful activities, its continued borderisation activities along the administrative boundary lines and its human rights abuses in Georgia pose a serious risk to the country’s security and to the broader security framework of Europe; reiterates its calls on Russia to withdraw its military forces and equipment from the territory of Georgia;

    82. Strongly condemns Russia’s shooting down of Azerbaijan Airlines Flight 8243 on 25 December 2024, killing 38 of the 67 passengers on board; underlines that this highlights once more the brutal and belligerent nature of the Russian regime;

    83. Urges the EU to continue its active engagement and take decisive steps, through its important instruments, to ensure that Russia fulfils its obligations under the EU-mediated ceasefire agreement of 12 August 2008, in particular its obligations to withdraw all its military forces from the occupied regions of Georgia, to allow the deployment of international security mechanisms inside both Georgian regions and the EU Monitoring Mission’s unhindered access to the whole territory of Georgia, and to engage constructively in the Geneva International Discussions and the Incident Prevention and Response Mechanisms; calls on the EEAS to prepare a comprehensive report on violations of the 12 August 2008 ceasefire agreement, to identify and communicate clearly the provisions that have still not been fulfilled by Russia and to submit recommendations;

    84. Condemns Azerbaijan for its continued efforts to undermine the possibility of regional peace and its continued threats against Armenia; calls for the EU and its Member States to suspend any security, technical or financial assistance provided to Azerbaijan, including through various EU instruments, that might contribute to the increase of Azerbaijan’s offensive capabilities or endanger the security, territorial integrity and sovereignty of Armenia;

    85. Recalls that a year has passed since Azerbaijan’s seizure of Nagorno-Karabakh, which resulted in the forced displacement of more than 140 000 Armenians from the region; condemns the military support and the supply of arms provided by non-EU countries to Azerbaijan; points out that Azerbaijan has been guilty of serious breaches of human rights in Nagorno-Karabakh; condemns the destruction of the Armenian cultural heritage in the region by Azerbaijan; calls on the Council to consider imposing targeted and individual sanctions against those responsible for ceasefire violations and human rights abuses in Nagorno-Karabakh;

    86. Welcomes the decision to adopt the first assistance measure under the EPF in support of Armenian armed forces, as this would strengthen the resilience of Armenia in the context of ensuring security, independence and sovereignty; calls for the further reinforcement of the cooperation between Armenia and the EU in the field of security and defence, in particular in the area of mine clearance, including through the use of the EPF, taking into account Armenia’s reconsideration of its membership of the Collective Security Treaty Organisation; welcomes the actions undertaken by several Member States to provide defensive military support to Armenia and urges the other Member States to consider similar initiatives;

    87. Emphasises that the EU should urgently review its regional strategy for the Sahel, following the various coups in the region; strongly deplores the forced departure of French troops and UN peacekeeping forces from the region and condemns the presence instead of private military companies (PMCs) and state-sponsored proxies such as the Africa Corps (formerly Wagner Group); underscores that that these PMCs have played a destabilising role in the Sahel and have supported various repressive regimes in an attempt to further Russia’s influence in Africa; points out the supply of weapons by Russia to the Sahel’s military regimes; further notes that other actors, such as Türkiye, are increasingly present in the region; urges the EU Special Representative for the Sahel and the Member States to maintain diplomatic engagement and continue supporting civil society and spending on development and humanitarian aid;

    88. Expresses its concern about the lack of coherence in the EU response to the Great Lakes region’s crises and calls on the Council to reassess its renewed EU Great Lakes Strategy adopted on 20 February 2023; recognises the importance of a genuine commitment by the EU to peace in the region; notes with concern the role that Rwanda has played in eastern Democratic Republic of the Congo (DRC) and calls on the EU to impose conditions on any military support to Rwanda; condemns the breaches of the sovereignty and territorial integrity of eastern DRC by M23 rebels; is deeply concerned about the humanitarian situation of thousands of displaced persons in the area; urges the VP/HR to engage in clear actions in line with the EU Great Lakes Strategy in order to restore stability and to cooperate with the United Nations Organization Stabilization Mission in the DRC (MONUSCO) to protect civilians in eastern DRC; urges the Rwandan Government to withdraw its troops from DRC territory and cease cooperation with the M23 rebels; urges the VP/HR and the Member States to urgently review military assistance to the Rwandan armed forces through the European Peace Facility and consider suspending it in the event that the Rwandan Government does not comply with urgent calls for its withdrawal from DRC by the UN and the EU;

    89. Is concerned about the limited role played by the EU in the Horn of Africa, while the involvement of other foreign actors is growing; calls for a review of the EU strategy in the region, with a view to achieving the EU’s goals of promoting peace, stability, and inclusive and sustainable economic development in the region; calls on the Council, the Commission and the EEAS to reflect on how to best use CSDP missions and operations deployed in the region to further these goals and enhance the EU’s activities;

    90. Recognises that the Arctic region has significant strategic and geopolitical importance owing to its emerging maritime routes, wealth of natural resources and opportunities for economic development unlocked by global warming, while being increasingly contested; is alarmed by the intensifying militarisation and resource competition driven by Russian and Chinese activities in the region;

    91. Underlines the importance of preserving security, stability and cooperation in the Arctic; stresses that the region must remain free from military tensions and natural resource exploitation and that the rights of indigenous peoples must be respected; reiterates the need to include the Union’s Arctic policy in the CSDP and to strengthen deterrence and defence capabilities in close coordination with NATO; emphasises that EU-NATO cooperation is essential to counterbalance the expanding influence of Russia and China in the region; calls for issues of interest to the Arctic to be addressed regularly within the Political and Security Committee and Council meetings;

    Gender dimension and women’s role in peace and security

    92. Emphasises the disproportionate and unique impact of armed conflicts on women and girls, especially in terms of conflict-related sexual violence; highlights the imperative need to ensure the provision and accessibility of the appropriate healthcare in armed conflicts, including sexual and reproductive health and rights; calls on the EU and Member States to ensure that armed conflicts are considered through a gender lens;

    93. Recalls that mainstreaming and operationalising gender perspectives in external relations and implementing the ‘Women, Peace and Security’ agenda in accordance with the relevant UN Security Council Resolutions are long-standing priorities for the EU; recalls in this regard the importance of strengthening women’s participation in conflict prevention and resolution, peace negotiations, peacebuilding and peacekeeping, humanitarian action and post-conflict reconstruction;

    94. Stresses that the integration of a gender perspective into all external and internal CSDP activities helps to improve the CSDP’s operational effectiveness and is a driver of the EU’s credibility as a proponent of gender equality worldwide; insists therefore on the importance of delivering on all the commitments made by the EU, including those in the EU’s Gender Action Plan (GAP) III (2020-2024) and in the Strategic Compass; also insists that the update of the Strategic Compass propose further measures to ensure gender equality and the full and meaningful participation of women in the CSDP, especially in military missions;

    95. Welcomes the inclusion of gender and human rights perspectives and the appointment of gender advisers in all CSDP missions and operations and the establishment of a network of gender focal points; calls for the new Civilian CSDP Compact to be used to strive for the full participation of women in civilian CSDP missions;

    CSDP missions and operations

    96. Underlines the importance of clear and achievable goals, openness to the host country’s perspectives and ownership, as well as of equipment and the necessary financial, logistical and human resources for each of the CSDP missions and operations; also underlines the deterioration of the security environment where many CSDP missions are present; calls for improvements to the governance of evaluation and control of CSDP missions and operations; reiterates its call for comprehensive assessments of CSDP missions and operations, in particular of the realism of their mandates in relation to the resources and equipment allocated, their management, methods of recruiting their staff and of matching profiles to the skills required, transparency on calls for tender, activities and results obtained, lessons learned on good practices and difficulties encountered; stresses the particular need for all missions and operations to have sunset provisions to allow a sustainable termination if necessary; calls on the VP/HR and the Member States to continue to effectively design CSDP missions and operations, including robust, result-oriented, flexible and modular mandates, in order to adapt to the changing security context and needs of host countries, and to maintain a strong partnership with host governments, civil society and local populations, ensuring the creation of the necessary conditions for the missions and operations to achieve their goals over the long term; calls for the Member States to use the new Civilian CSDP Compact to strengthen their strategic vision of civilian crisis management by clarifying the role, effectiveness and added value of civilian CSDP, and by defining a shared level of ambition for civilian crisis management; also calls for the synergies and complementarities between the civilian and military dimensions of the CSDP to be built on; calls on the Commission and the EEAS to develop, together with the Member States, a structured and regular civilian Capability Development Process to assess the availabilities of Member States’ capability needs, develop requirements, conduct a gap analysis and periodically review progress; believes in the necessity of establishing a solid policy on the equipment and services needed by partner countries where civilian CSDP missions take place;

    97. Notes that the CFSP budget for civilian CSDP missions has only marginally increased between the multiannual financial framework (MFF) 2014-2020 and the MFF 2021-2027, while at the same time the number of missions and their tasks and costs have increased; calls for a substantive increase in funding for the CFSP budget, while at the same time ensuring the efficient use of the funds allocated to CSDP civilian missions, in order to make sure that they respond effectively to crisis situations and unforeseen events; calls for the establishment of a dedicated budget line or ‘civilian support facility’, to provide partner countries with the necessary equipment and services to enhance their civilian capabilities;

    98. Reiterates its call on the EEAS to take concrete action to support CSDP missions and operations defending against cyber and hybrid attacks and countering FIMI in countries where CSDP missions and operations are deployed, in particular in the Western Balkans and in the Eastern Partnership countries; calls on the Commission to take into account CSDP missions and operations when formulating its European Democracy Shield in order to pre-empt threats aiming to discredit the EU’s external actions and safeguard EU personnel deployed abroad; insists on the need to build on lessons learned across the different CSDP missions and operations, as well as cooperating with Member States’ missions and operations so as to better communicate and identify threats in order to pre-empt or respond to them in a timely manner when necessary; calls for an improved response capability, strategic communication and enhanced outreach in the areas of deployment – using the relevant local languages – in order to better inform the local population of the rationales, benefits and roles of the CSDP missions and operations in their respective regions, informing them as well of the consequences of relying on the support of other actors aiming at destabilising them, in particular Russia and China; also calls on the Commission and the EEAS to increase the visibility of CSDP missions and operations in the Eastern Partnership countries by including them in their political messaging, making documents publicly accessible and engaging with the international press; calls on the Commission and the EEAS to adjust the advisory mandates of CSDP missions and operations to include specialised training on combating hybrid warfare activities, cyber warfare and open source intelligence (OSINT) analysis; calls on the EEAS to increase its cooperation and coordination with other missions and operations by like-minded partners and organisations, including United Nations Peacekeeping Operations, in countering FIMI operations in the field;

    99. Stresses that corruption in theatres of operations can adversely impact CSDP missions and operations by exposing them to reputational damage, wasting resources, and exacerbating poor governance and maladministration, as well as increasing local levels of bribery, fraud, extortion, and nepotism; calls for strategies to be implemented to prevent and combat corruption, developing anti-corruption expertise and knowledge and stepping up efforts to mitigate corruption risks in current and future CSDP missions and operations;

    100. Calls on the Council and the EEAS to include a cultural heritage protection component in its CSDP missions and operations in order to provide assistance and education to local partners on addressing security challenges relating to the preservation and protection of cultural heritage; notes that the inclusion of cultural heritage protection and intercultural dialogue in mission mandates would be beneficial to the process of conflict resolution and reconciliation;

    101. Highlights the need to extend the mandates of CSDP missions and operations deployed in neighbouring eastern European countries, where heightened security threats justify a reinforced EU presence; encourages all Member States to deploy personnel to those missions and operations; also encourages greater third country participation in these missions, particularly from third countries that have successfully hosted completed CSDP missions; calls on the Member States to examine how new CSDP missions and operations can be established in EU candidate countries, if necessary, and in close cooperation with their national authorities; calls on the EEAS to ensure that the CSDP missions’ support to security sector reforms includes training for ministerial officials; calls for the EEAS and the European Security and Defence College to help develop the expertise of civil and defence staff supporting and deployed in CSDP missions and operations; recognises the opportunity for third countries hosting CSDP missions and operations to help the EU achieve CSDP objectives and demonstrate their capacity to provide security to others via their participation in out-of-area CSDP missions and operations;

    102. Welcomes the UN Security Council’s extension of the mandate of the European Union Force (EUFOR) Operation Althea in Bosnia and Herzegovina (BiH) beyond 2025, as an established and proven peacekeeping mission that has significantly contributed to the stability of both the country and the region; further welcomes the mission’s positive response to the request from the BiH Ministry of Security’s Civil Protection Agency, offering assistance to national authorities on addressing the impact of the recent flooding; takes the view that this extension reflects the shared commitment across the political spectrum in BiH to uphold peace and security in cooperation with the EU; welcomes the continued presence of the Kosovo Force (KFOR) and the EU Rule of Law Mission (EULEX) in Kosovo and commends the role it plays in strengthening security and stability; calls on all parties involved to adhere to the requirements of international law, restrain and prevent any disruptive actions from destabilising the northern region of Kosovo; urges them to engage in the structured dialogue mediated by the EU; condemns in the strongest possible terms the terrorist attack by Serbian paramilitaries against Kosovo’s police and the hideous terrorist attack on critical infrastructure near Zubin Potok in northern Kosovo; stresses that the perpetrators of these deplorable terrorist attacks must be held accountable and face justice without delay; calls for the strengthening of both EUFOR’s Operation Althea and KFOR with additional resources;

    103. Commends the establishment and operations of the EU Partnership Mission in Moldova (EUPM Moldova), which has contributed to strengthening the country’s crisis management structures and to enhancing its resilience to cyber and hybrid threats, and countering FIMI; calls for the mission’s mandate to be extended beyond May 2025, the adequacy of its means, methods and resources in relation to the mission’s objectives to be assessed and its resources adapted in the light of the evaluation’s conclusions in order to enhance its effectiveness; recognises the important role that the European Union Border Assistance Mission to Moldova and Ukraine (EUBAM) plays in helping to re-open rail freight through Transnistria and in thwarting multiple smuggling operations; encourages EUBAM to expand its collaboration with multiple international organisations including Europol, FRONTEX and the OSCE via its Arms Working Group, ORIO II Joint Operations and ‘EU 4 Border Security’ initiatives;

    104. Welcomes the role of the EU Monitoring Mission (EUMM) to Georgia in monitoring the situation on the Abkhaz and South Ossetian Administrative Boundary Line; condemns the temporary detention of EUMM officers by security actors while conducting a routine patrol along the Administrative Boundary Line (ABL); expresses its profound concern about any actions that obstruct EUMM actions and seek to undermine efforts to build confidence; urges the Council and the EEAS to monitor the situation closely, promote the unimpeded access of the EUMM to Georgia’s territories occupied by Russia according to the mission’s mandate, support the extension of its mandate and strengthen its capacities in order to properly address the security and humanitarian needs of the local population in conflict-affected areas;

    105. Welcomes and strongly supports the activities of the civilian European Union Mission in Armenia (EUMA) under the CSDP, which is helping to increase security in the region by substantially decreasing the number of incidents in conflict-affected and border areas, building confidence and reducing the level of risks for the population living in these areas; welcomes Armenia’s assistance to the activities of the EUMA on its territory; commends the Council for the decision to boost the mission’s capacity and increase the number of observers deployed as well as to extend its deployment timeframe, and calls for further expansion and a stronger presence in the region in order to create an environment conducive to EU-supported normalisation efforts between Armenia and Azerbaijan; urges Azerbaijan to allow EU observers on its side of the border as well; condemns Azerbaijani threats and Russia’s negative narrative against the EUMA;

    106. Considers that the two EU civilian CSDP missions – European Union Police Mission for the Palestinian Territories (EUPOL COPPS) and the European Union Border Assistance Mission for the Rafah Crossing Point (EUBAM Rafah) can play an essential role in supporting Palestinian state-building efforts; supports a stronger role for the EUPOL COPPS and EUBAM Rafah, in line with the European Council conclusions of 21 and 22 March 2024 and based on the principle of the two-state solution and the viability of a future Palestinian state, so that they can participate in the facilitation of the delivery of humanitarian assistance to the Gaza Strip, improve the efficiency of the Palestinian authority in the West Bank, and prepare for the authority’s return to the Gaza Strip; stresses in particular the need to create the necessary conditions for the full reactivation of EUBAM Rafah to allow it act as a neutral third party at the Rafah crossing point, in coordination with the Palestinian Authority as well as the Israeli and Egyptian authorities; expects the reinforcement of the scope and mandates of EUPOL COPPS and EUBAM Rafah on the ground to be included as key priorities of the forthcoming EU-Middle East Strategy; welcomes the Council decision to extend the mandates of the two missions until 30 June 2025;

    107. Takes note that the mandates of the EUTM Mali, EUMPM in Niger and of the ground mission of personnel from EUCAP Sahel Niger ended in 2024, while the EU Capacity Mission Sahel Mali (EUCAP Sahel Mali) and the EU Regional Advisory and Coordination Cell (EU RACC) for the Sahel are still ongoing; acknowledges that the various international missions have not been able to achieve their goal of stabilising the region and its fragile democracies or ensuring peace in the region; is concerned by the failure of the EU’s Sahel strategy in terms of security and defence; expresses deep concern about the worsening security situation, the continuous failure of states and the resurgence of terrorism in the Sahel; takes note of the creation of a new type of hybrid civilian-military EU Security and Defence Initiative in the Gulf of Guinea (EUSDI Gulf of Guinea), established in August 2023, aiming to empower the security and defence forces of Côte d’Ivoire, Ghana, Togo and Benin to improve the stability and resilience of their northern border areas; calls on the EEAS and the Member States to closely examine the mandate of all CSDP missions in Africa, with the aim of providing achievable goals and milestones for each mission given the current political context, as well as exploring whether these missions could be amended to more effectively serve a new revised multi-dimensional EU strategy for Africa and the Sahel, as part of its integrated approach; calls in this regard, for a review, as a matter of priority, of the mandate and resources of the EUCAP Sahel Mali and EU RACC for the Sahel, proposing changes to them and consider their termination if necessary;

    108. Welcomes the creation in February 2024 of EUNAVFOR ASPIDES as an EU military operation in response to the Houthi attacks on international shipping in the Red Sea, in order to contribute to the protection of freedom of navigation and the safeguarding of maritime security, especially for merchant and commercial vessels in the Red Sea, the Indian Ocean and the Persian Gulf; calls on the Member States to increase the capabilities of the EUNAVFOR ASPIDES operation and to consider merging it with the EU ATALANTA military operation, as originally envisaged, to improve the efficiency of both operations;

    Improving the EU’s ability to address security challenges

    Intelligence capacity

    109. Stresses the importance of enhanced intelligence sharing and information exchange among Member States and EU institutions, including Parliament, to combat foreign interference, improve situational awareness and be able to better anticipate and counter threats to collective security and define common lines of action under the CSDP, particularly in the area of crisis management;

    110. Underlines the need for the EU to make full use of the necessary first-hand information on global issues occurring outside its borders in the light of increasing geopolitical challenges and crises worldwide; commends the efforts of the EU Intelligence and Situation Centre (EU INTCEN) and the EU Military Staff Intelligence Directorate, cooperating in the framework of the Single Intelligence Analysis Capacity (SIAC), as well as the European Union Satellite Centre (SatCen), to produce all-source intelligence assessments; calls on the EU Member States to reinforce the EU INTCEN, the SIAC, the EEAS Crisis Response Centre and the EU SatCen by enhancing its staff and financial resources, as well as capabilities and information security; urges these centres, provided they have adequate information security provisions, to draw lessons from NATO’s role in facilitating public-private sharing of cyber threat intelligence, and apply this to their field, thereby offering added value to the Member States;

    111. Calls on the Member States to utilise the EU INTCEN as an effective intelligence-sharing body in order to share intelligence in a secure fashion, formulate a common strategic and security culture and provide strategic information; stresses that on the basis of the intelligence gathered, the EU INTCEN should be further involved in the threat assessments carried out by the EU institutions, as well as attribution of digital operations and sanctions evasions; reiterates its call to promote the establishment of a system for the regular and continuous flow of intelligence from Member States to the EEAS and between EU Member States on foreign and security issues occurring outside the Union; underlines the importance of secure communications and a high level of information security for reliable intelligence and calls for efforts to enhance and streamline security rules and regulations to be pursued in this respect to better protect sensitive information, infrastructure and communication systems from foreign interference and attacks;

    112. Calls for regular joint threat assessments with input from Member States’ intelligence services in order to inform CSDP decision-making bodies and reiterates its call for the deployment of intelligence-gathering capacities in all CSDP missions and operations, which would provide information to the EU INTCEN, EU Military Staff (EUMS), the MPCC and the CPCC;

    Defence against hybrid attacks and disinformation

    113. Expresses serious concern about the growing security challenges posed by cyber and hybrid attacks, as well as FIMI, all of which are aimed, inter alia, at undermining the stability of the EU’s democratic societies, in particular in EU territories far from their mainland, the alliances of EU Member States, and fostering polarisation, especially in the run-up to elections; stresses that Member States, particularly those on the EU’s eastern external border, are vulnerable to such hostile influence from Russia and Belarus; welcomes the established institutional cooperation at administrative level between the Commission, the EEAS and Parliament during the past European election campaign to prevent a massive use of FIMI by malicious third state and non-state actors; calls on the Commission, the EEAS and Parliament’s administration to strengthen their capabilities to increase resilience against hybrid attacks and FIMI; points in this regard to the recent decision by the Romanian constitutional court to annul the first round of the presidential elections following reports of massive hybrid attacks by Russia, especially via social media platforms; further calls on the administrations of the EEAS and Parliament to closely cooperate with the private sector, civil society as well as the academic and scientific community in countering malign influence campaigns and hybrid threats, including the weaponisation of new technologies;

    114. Supports the pledged establishment of a ‘European Democracy Shield’ and reiterates its call on the Member States, the Commission and the EEAS to consider the creation of a well-resourced and independent structure tasked with identifying, analysing and documenting FIMI threats against the EU as a whole, to detect, track and request the removal of deceptive online content, to increase situational awareness and threat intelligence sharing, and develop attribution capabilities and countermeasures in relation to FIMI; considers that this structure would serve as a reference point and specialised knowledge hub to facilitate and foster operational exchange between Member States’ authorities and the EU institutions; stresses that the structure should clarify and enhance the role of the EEAS Strategic Communications division and its task forces as the strategic body of the EU’s diplomatic service and prevent the overlap of activities; highlights its own decision to establish a special committee on the EU Democracy Shield in the European Parliament and deems it an important way to consolidate European efforts in this field;

    115. Highlights the importance of intensifying efforts to combat disinformation promoted by foreign actors aiming to undermine the credibility of the EU, particularly in EU candidate or neighbouring countries and regions where CSDP missions and operations are under way; underlines that the coordination between the EEAS and relevant EU agencies, including the EU Agency for Cybersecurity (ENISA) and relevant authorities at Member State level, must be significantly increased in order to develop coherent and efficient strategies against FIMI; underlines in this regard the need for strategic and preventive communication, and invites all EU institutions to work hand in hand with the EEAS, to strengthen the visibility, the positive perception and legitimacy of the EU’s external actions;

    116. Considers that hybrid threats in the years ahead will see the combination of information warfare, agile force manoeuvre, mass cyberwarfare, and emerging and disruptive technologies from the seabed to space with the deployment of advanced air and space surveillance and strike systems, all of which will possibly be enabled by AI, quantum computing, ever smarter drone swarm technologies, offensive cyber capabilities, hypersonic missile systems, nanotechnologies and biological warfare; recognises in particular the increasing role of AI in hybrid warfare and its potential use in undermining democratic institutions, spreading disinformation, disrupting critical infrastructure, as well as influencing public opinion through automated and data-driven operations;

    117. Calls for strategic, proactive and coordinated EU-level measures to counter hybrid threats and to strengthen the security and integrity of critical infrastructure in the EU, de-risking and promoting the EU’s technological edge in critical sectors, including measures to restrict or exclude high-risk suppliers; stresses in this regard the importance of the PESCO project that aims to support the Cyber and Information Domain Coordination Centre (CIDCC) to facilitate the planning and conduct of EU missions and operations with cyber- and information-domain capabilities as well as enhancing the general resilience of the EU in this area; calls, therefore, for its permanent integration in CSDP;

    118. Condemns the continued malicious actions by Russia and Belarus aimed at destabilising the EU by pushing migrants to forcibly enter EU countries, constituting a hybrid attack; calls on the EU to review and update its policies concerning the strengthening of its external borders in order to bolster the security of the Union as a whole;

    Cybersecurity

    119. Welcomes the Cyber Solidarity Act[27] and its importance to Member States’ cyber defence capabilities; supports the promotion of platforms for information sharing and analysis and calls for this to be expanded to include the provision of threat or vulnerability intelligence with cross-border security operations centres (SOCs); calls for a clearer funding plan that specifies the amount of funds that will be used to implement the act;

    120. Is concerned by the delay by many Member States in implementing the Directive on measures for a high common level of cybersecurity across the Union (NIS 2 Directive)[28] and calls for swift implementation to secure European critical infrastructure; calls on the VP/HR to better synchronise the cyber, hybrid and FIMI sanction toolboxes and use them more actively while also exploring how sectoral sanctions may be implemented;

    Space

    121. Welcomes the findings and recommendations in Mr Draghi’s report on the future of European competitiveness, which encourages Member States to update governance and investment rules in the space domain, in particular for defence-related areas; calls on the Commission and the Member States to invest appropriately in this domain in the context of the next MFF and also by considering any other financing instrument; highlights in particular the need to further develop the European Space Programme considering the strong connections between the space and the defence and security sectors when planning the new MFF; underlines the importance of improving cooperation between the Commission and the European Space Agency to avoid duplication of efforts and ensure more efficient use of resources; calls for fostering transatlantic cooperation and synergies with NATO to ensure effective coordination in the development of space and defence capabilities;

    122. Stresses that the current pillars of the EU’s space programme – the Galileo global satellite navigation programme and the Copernicus Earth observation programme – have clear dual-use potential in developing space applications and services; stresses the importance of establishing, as a third pillar of the EU’s space programme, the IRIS2 satellite constellation to provide secure communication services to the EU and its Member States as well as broadband connectivity for European citizens, private companies and governmental authorities; recommends that Taiwan and Ukraine be granted access to the IRIS2 Satellite Constellation; highlights that, beyond satellite communications, sectors such as positioning, navigation, timing, as well as earth observation, are essential in strengthening the EU’s strategic autonomy and resilience; stresses that the development of these capabilities directly contributes to an effective crisis response and the protection of critical infrastructure; calls therefore for new EU space programmes to be considered, enabling the EU to strengthen its strategic autonomy and its status as a global space power;

    123. Recognises the inadequacy of launch vehicle capabilities and satellite communications within the EU; underlines the strategic importance of advancing and enhancing these capabilities to enable the EU to effectively support Member States and CSDP missions and operations, while maintaining a resilient and autonomous posture; stresses that the development of EU-led solutions in this domain is essential for the protection of critical infrastructure and to ensure a secure and competitive presence in the space sector;

    124. Calls on the Member States to address the growing threat of the weaponisation of space, in particular reports of Russia’s progress on space-based nuclear weapons technology, which would constitute a blatant violation of the 1967 Outer Space Treaty;

    Maritime domain

    125. Stresses that, given the growing geopolitical maritime tensions, the EU must  step up its activities at sea, by leading in maritime domain awareness, protecting critical infrastructure, ensuring that its external maritime borders are monitored effectively in order to prevent illegal activities, and contributing to ensuring freedom of navigation, the safety of maritime lines of communication and of vessels and crews, and to countering illegal, unreported and unregulated fishing;

    126. Underlines the commitment to strengthen the EU’s role as a guarantor of international maritime security; stresses in this regard the importance of the Coordinated Maritime Presence (CMP) concept, enhancing the role of the EU as a global maritime security provider and its visibility in key maritime regions, highlights the activities of CMPs in the Gulf of Guinea and in the northwestern Indian Ocean; calls on the Member States to engage actively with those initiatives and to build up their military naval capabilities with a view to enhancing the EU’s presence and visibility in the global maritime sector; recommends that CMPs be expanded to other key maritime areas across the globe;

    127. Expresses its serious concerns about Russia’s and China’s surveillance and sabotage of critical maritime infrastructure, such as seabed communication cables and offshore energy facilities; expresses in particular its strong concern about the damage to two subsea communications cables, one linking Finland to Germany and the other connecting Sweden to Lithuania, within less than 24 hours on 17 and 18 November 2024, and about the damage by a tanker belonging to the Russian shadow fleet of EstLink2, linking Estonia and Finland, on 25 December 2024; calls on the EU to put in place effective monitoring and surveillance systems and regional coastguard cooperation to ensure the prevention and rapid detection of attacks against such infrastructure; welcomes, in that regard, the launch of the operation ‘Baltic Sentry’ by NATO, with participation of several Member States, to improve the security of critical undersea infrastructure in the Baltic Sea; calls on Member States to fully abide by the commitments of the New York declaration on the Security and Resilience of Undersea Cables, including the procuring of submarine cable equipment only from companies in allied countries; calls on the Commission to allocate adequate resources to the research and development of cutting-edge underwater assets and defence equipment to protect islands against possible landings and attacks by forces from third countries;

    Arms control, non-proliferation and disarmament

    128. Deplores the weakening of non-proliferation and arms control regimes during these unstable geopolitical times and calls for the redoubling of efforts to reverse this trend; emphasises in this regard the critical and substantial need for an increase in investment in regional and global arms control, non-proliferation and disarmament, with a particular focus on multilateral strategies; stresses that those strategies should address issues relating to unexploded ordnance and chemical weapons dumped in the previous century, which pose a threat to security, the environment, health and the economy, in particular in the Baltic, Adriatic and North seas;

    129. Reaffirms its unwavering support for the EU and its Member States’ commitment to the Treaty on the Non-Proliferation of Nuclear Weapons (NPT), recognising it as the cornerstone of the global nuclear non-proliferation and disarmament framework; recalls that Russia withdrew its ratification of the Comprehensive Nuclear-Test-Ban Treaty in October 2023;

    130. Recalls that international negotiations related to non-proliferation and arms control regimes and their outcomes have an impact on Europe, in particular on EU Member States; highlights the importance of giving renewed impetus to reviving those regimes; also stresses the importance of ensuring that the EU takes an active and constructive role in advancing and strengthening the international rules-based efforts towards non-proliferation, arms control, and disarmament architecture, in particular in the field of weapons of mass destruction and dual-use digital surveillance and manipulation tools;

    131. Calls on the Member States to fully comply with Common Position 2008/944/CFSP defining common rules governing the control of exports of military technology and equipment as amended by Council Decision (CFSP)2019/1560, and to strictly implement criterion 4 on regional stability;

    132. Stresses the need to prevent sensitive emerging technologies and key dual-use items, especially those that are critical for EU security, from being transferred to destinations of concern outside the EU; calls for the establishment and implementation of EU-wide electronic customs and export licensing systems, as a critical step towards making export controls by Member States of those technologies and items more effective;

    Defence and society and civilian and military preparedness and readiness

    133. Highlights the need for a broader understanding of security threats and risks among EU citizens to develop a shared understanding and alignment of threat perceptions across Europe and to create a comprehensive notion of European defence; stresses that securing support by democratic institutions and consequently by citizens is essential to develop a successful and coherent long-term EU defence, which requires an informed public debate; calls for the EU and its Member States to develop awareness-raising and educational programmes, especially for the young, aimed at improving knowledge and facilitating debates on security, defence and the importance of the armed forces and at strengthening the resilience and preparedness of societies to face security challenges, while allowing for greater public and democratic control and scrutiny of the defence sector; calls on the Commission and the Member States to develop those programmes within the framework of the European Democracy Shield, building on the model of national programmes, such as the Swedish Civil Contingency Initiative;

    134. Welcomes the efforts to strengthen Europe’s civil and military preparedness and readiness, as also proposed in Mr Niinistö’s report; acknowledges the critical importance of citizens in crisis preparedness and response, in particular the psychological resilience of individuals and household preparedness; also recognises the importance of civil protection infrastructures and planning for emergency situations; supports a whole-of-society approach to resilience, involving the active engagement of EU institutions, Member States, civil society, and individual citizens in strengthening the EU security framework; stresses that CSDP decision-making bodies responsible for planning, resources and logistics have the potential to become the primary enablers of civilian crisis management during emergency situations; calls on the Member States and the Commission to closely examine the report’s recommendations and develop an EU risk assessment and preparedness strategy, joint exercises, a stronger EU-NATO cooperation interface in view of crisis situations; calls for the development of adequate civil protection infrastructure and thorough emergency planning and for the necessary investments for these purposes to be ensured, including through a dedicated EIB investment guarantee programme for crisis-proof civil defence infrastructure;

    135. Recalls that terrorism, including jihadi terrorism, poses a persistent threat to the security of the EU and of its partners; calls on the EU to continue efforts to prevent this threat with determination and full solidarity, in particular through greater coordination to improve knowledge, develop preparedness and response capabilities, and to ensure closer interaction with partners and other international actors;

    136. Points out that the EU’s defence policies should reflect the principles of gender equality and diversity, promoting inclusive military environments that reflect the values and diversity of European society while ensuring that all members of the European armed forces, regardless of gender or background, have equal opportunities and access to support; reiterates the important role of young people and youth organisations in maintaining and promoting peace and security and calls on the EEAS to commit to integrating young people into its youth, peace and security (YPS) agenda more systematically; also calls for developing train-the-trainers programmes and cooperation between defence institutions and universities of EU Member States, such as military courses, exercises and role playing training activities for civilian students;

    137. Stresses that the EU and its Member States must address critical recruitment and retention challenges in the military by developing coordinated national and EU-level actions in order to ensure a sustainable military workforce; recommends, that the EU should support the Member States in developing policies that enhance career attractiveness and long-term retention strategies; stresses the need for the EU Military Committee (EUMC) to provide follow-up on its task of gathering and analysing data across the EU Member States on the issues of recruitment and retention, in order to identify possible measures addressing these issues; highlights that supporting the mental health and well-being of military personnel, with a focus on professional development and long-term care for veterans, must be adequately taken into consideration in the further development of the Defence Union;

    138. Recalls the importance of organising joint training and exercises between European armed forces, thereby promoting interoperability, with a view to maximising mission preparedness and addressing a broad range of threats, both conventional and non-conventional; calls for the development and creation of exchange programmes at EU level for military personnel from the Member States, aimed at providing training opportunities and experience in different European military environments and structures and thereby fostering mutual understanding, cohesion, and interoperability, between the EU’s armed forces; reiterates in this respect its support for the European Initiative for the Exchange of Military Young Officers (Military Erasmus – EMILYO), operated by the European Security and Defence College;

    Strengthening defence cooperation and partnerships

    139. Underlines the importance of the partnership dimension of the Strategic Compass in reinforcing cooperation between the EU and its allies and partners around the world on the basis of common values and respect for human rights and democracy, in order to strengthen the perception of the deterrence principle and to counter foreign strategies aimed at undermining the EU and its partners, and destabilising the rules-based international order; calls on the EU to further engage in security cooperation with partners in all the priority areas identified in the Strategic Compass, notably in strengthening resilience of local security sectors in the area of crisis management, countering hybrid threats as well as upgrading capacities of cybersecurity institutions; also calls for closer cooperation between relevant organisations from partners with the EU Satellite Centre, the European Defence Agency (EDA) and the EU Agency for Cyber Security (ENISA); believes that the participation of partners and NATO Allies in PESCO projects, subject to the agreement by the EU Member States, contributes to improving compatibility between their standards in the defence sector as well as to sharing experience, intelligence and technical expertise in various fields;

    140. Reaffirms that the EU’s Common Security and Defence Policy (CSDP) must always strictly observe international law and the multilateral decisions taken deriving from international institutions; welcomes the adoption of the EU’s human rights and international humanitarian law due diligence policy on security sector support to third parties (EU HRDDP), serving as a basis for security and military cooperation with third countries in a way that is more compliant with human rights and international humanitarian law (IHL); calls for its thorough implementation; reiterates the call for closer cooperation with international organisations, such as, but not limited to, the UN, the African Union, and their peacekeeping missions in joint theatres, and the OSCE on security;

    141. Welcomes the Joint Declaration of the G7 Defence Ministers of 19 October 2024 and their declaration of intent to increase cooperation in the defence sector; stresses the strong interest for the EU of developing international partnerships with like-minded partners in this area and the need to strengthen EU efforts to ensure that countries which were once strategic partners, and with which some Member States maintain strong cultural ties, are not drawn into the sphere of influence of systemic rivals; recalls that economic diplomacy plays a crucial role in this endeavour, serving as an essential tool to reinforce cooperative ties, promote mutual prosperity, and consolidate the EU’s presence and influence, contributing to the resilience of partners against external pressures;

    EU-NATO cooperation

    142. Stresses the importance of the EU’s strategic partnership with NATO, in full respect of the agreed guiding principles of transparency, reciprocity and inclusiveness, as well as respect for the decision-making autonomy and procedures of each organisation; highlights that NATO and the EU play complementary, coherent and mutually reinforcing roles in supporting international peace and security and thus avoiding the duplication of defence efforts, while maintaining strong close cooperation; welcomes the accession of Sweden to NATO in 2024, and that of Finland in 2023, representing a historic step forward in strengthening security in Europe, notably in the Baltic sea region; calls on the VP/HR to operate in close coordination and unity with the NATO Secretary General;

    143. Calls for further deepening of EU-NATO cooperation by building on the EU’s Strategic Compass and NATO’s new Strategic Concept, including in the fields of cybersecurity, hybrid warfare, counter terrorism, military mobility, dual-use infrastructure, conflict prevention and crisis management, military-security cooperation, countering malicious foreign interference from third countries, a coordinated approach in the Indo-Pacific, as well as increasing common action on the international stage to protect democracy; strongly supports NATO’s Open Door Policy; invites the EU and NATO to reinforce their cooperation on supporting the capacity-building of common partners;

    144. Stresses the constant need for alignment among states that are both EU and NATO members and the obligation under Articles 1 and 3 of the NATO charter for cooperation, self-help and mutual aid; calls on the EU to step up its efforts on common security and defence initiatives wherever there is no NATO equivalent, to increase standardisation, improve interoperability and develop common operating procedures between Member States’ and the EU’s defence capabilities;

    145. Commends the close EU-NATO cooperation in the Western Balkans, including through EUFOR Operation Althea and the KFOR military operations, which guarantee the necessary stability for Bosnia and Herzegovina, Kosovo and the wider region;

    146. Emphasises the vital role of the Black Sea region in the European security landscape and calls for the EU to collaborate with NATO on formulating a comprehensive strategy for this region, which should address security challenges, counter hybrid threats, enhance maritime cooperation and bolster regional partnerships;

    147. Welcomes the appointment of NATO’s Special Representative for the Southern Neighbourhood and NATO’s focus on this region; considers it appropriate to strengthen coordination and consultation between EU officials in charge of policy for the Southern Neighbourhood and the Sahel and their NATO counterparts, in order to avoid publicity and fragmentation of efforts and resources;

    148. Welcomes the proposal from the NATO Parliamentary Assembly (NATO PA) to enhance Parliament’s status to ‘partner’ under the ongoing reform of partnerships; invites its Delegation for relations with the NATO PA (DNAT) to make full use of Parliament’s current and future privileges; considers DNAT an important instrument of Parliament’s diplomacy in an enhanced EU-NATO partnership aimed at strengthening the European pillar of NATO and contributing to reaching the Alliance’s overall objectives; is of the view that DNAT can play a pivotal role in reinforcing EU-NATO cooperation, strengthening the democratic resilience of accession countries and key partners, as well as, overall, enhancing the parliamentary dimension of this essential partnership;

    Partnership with the United States

    149. Considers it essential to further develop the EU’s close relationship with the United States, which is based on mutual respect, the shared values of democracy, freedom and the rule of law, as well as a broad range of common or converging interests; values the United States’ commitment to and involvement in the territorial defence of Europe, in accordance with the North Atlantic Treaty and its Article 5, especially in the light of Russia’s war of aggression against Ukraine; encourages mutual security and defence initiatives, disarmament and non-proliferation, the impact of disruptive technologies, climate change, hybrid threats, cyber defence, military mobility, crisis management and the relationship with strategic competitors; calls for further strengthening of the EU-US security and defence dialogue as an important instrument in closer transatlantic cooperation;

    150. Notes the importance of greater collaboration in defence production and procurement, including through equal market access for both defence industries; takes note of the US National Defence Industry Strategy of January 2024 and its ambition to deepen industrial cooperation with partners; acknowledges the vast range of possible mutually beneficial areas of cooperation in defence and its positive implications for a stronger transatlantic partnership in times of increasing geopolitical competition; stresses, however, that such cooperation requires a level playing field, which is incompatible with the provisions of the US International Trade in Arms Regulation; calls, accordingly, upon the Commission to launch a dialogue with the United States to explore the possibilities of developing mutually beneficial defence industrial cooperation based on a legal framework that ensures a level transatlantic playing field;

    Partnership with the United Kingdom

    151. Recognises the UK’s significant contributions to Europe’s security and stability, as well as its commitment to shared defence objectives, which enhance collective security across Europe; welcomes the strong cooperation between the EU, EU Member States and the United Kingdom when it comes to supporting Ukraine, as well as bilateral agreements such as the Trinity House agreement between the UK and Germany to deepen defence cooperation; welcomes the participation of the UK Secretary of State for Foreign, Commonwealth and Development Affairs at the EU Foreign Affairs Council meeting in October 2024; calls for the EU and the UK to swiftly upgrade defence cooperation and become closer security partners by signing a joint declaration with concrete engagements and structured dialogue to strengthen EU-UK cooperation on the full range of foreign and security challenges the EU and UK face on the European continent; underlines in this regard the importance of closer cooperation on information and intelligence sharing, counter terrorism, military mobility, security and defence initiatives, crisis management, cyber defence, hybrid threats and FIMI, and on jointly addressing shared threats, such as the proliferation of weapons of mass destruction;

    152. Considers it essential to make progress on practical cooperation by formalising a joint declaration on a security and defence partnership with the United Kingdom as a means of strengthening European security and the European pillar of NATO, in particular in the context of Russia’s war of aggression against Ukraine; encourages the VP/HR to regularly invite the United Kingdom to informal Council meetings of foreign affairs (and defence) ministers to exchange views on issues of common concern while fully safeguarding the EU’s decision-making autonomy;

    Partnership with Western Balkan and Eastern European partners

    153. Believes that the EU’s security is closely interlinked with the security of its immediate European neighbours and that the EU has an interest in giving priority to its enlargement policy and strengthening the stability of its South-Eastern and Eastern European neighbours, in particular candidate countries; calls for stronger military-security cooperation, including civilian and military as well as policy and military security, cooperation with candidate countries and partners, particularly in areas such as resilience, cybersecurity, hybrid threats, border management, counter-terrorism and countering disinformation; reiterates the need for close cooperation with NATO in this regard;

    154. Highlights that the Union should facilitate the participation of European partners with a high level of alignment with CSDP matters, most notably the Western Balkans countries, in current and future programmes linked to the defence sector; reaffirms that thorough involvement of the candidate countries would substantially facilitate their accession process by increasing their industrial and operational capacities in the defence sector, thus increasing interoperability with EU Member States’ armed forces; is of the opinion that the comprehensive inclusion of the Western Balkans candidate countries in EU defence initiatives would represent a strategic investment, as well as an integral part of the EU’s efforts to counter the growing assertiveness and foreign interference orchestrated in those countries;

    155. Encourages the Member States to further utilise the European Peace Facility (EPF) for training and outfitting security services in South-Eastern and Eastern European partners hosting CSDP missions, particularly military police, medical and law enforcement infrastructure and to increase intelligence exchange capabilities via secure lines of communication;

    Partnership with the African Union and African countries

    156. Stresses the importance of the EU-Africa relationship for European security; considers it essential to significantly step up the EU’s partnerships with African countries;

    Partnership with the Indo-Pacific region

    157. Stresses the strategic significance of the Indo-Pacific region within the EU’s defence framework, recognising the necessity of addressing growing security concerns linked to China’s regional activities and their broader implications for global stability; considers it essential to strengthen the EU’s presence and partnerships in this region; is also aware of Taiwan’s leading role in high-tech development, and its extensive experience defending itself against China’s hybrid attacks, disinformation, and FIMI, which should be a foremost consideration when assessing the possibilities of strengthening multilateral exchanges and cooperation;

    158. Underscores the imperative for the EU of establishing more enduring collective security through a network of regional allies and partners, forming the conventional foundation of its engagement in the region; strongly welcomes the recent conclusion of the EU-Japan Security and Defence Partnership; believes that a further deepening of the strategic and defence partnership of the EU with Japan, and the development of regular dialogue, cooperation, and capacity building with other like-minded countries in the Indo-Pacific region, such as Australia, New Zealand, South Korea and Taiwan, are fundamental to advancing common security; reiterates its call on the EU for further engagement with emerging strategic partners in the region, such as Indonesia and Viet Nam; 

    Greater involvement of the European Parliament in the CSDP

    159. Stresses that the strengthening of the CSDP as a political priority in the tenth legislative term and the increase in spending on defence policies and programmes at EU level and by the Member States requires full parliamentary scrutiny and accountability;

    160. Calls, in this regard, for Parliament’s scrutiny, legislative and budgetary role over a growing range of defence initiatives across the EU institutions and in particular the work carried out under the CSDP to be reinforced, including by strengthening regular dialogue, the exchange of information and maintaining permanent channels of communication open between the VP/HR, the Commissioner for Defence and Space and the competent Parliament bodies; recommends the inclusion of regular intelligence updates to relevant parliamentary committees;

    161. Deplores that the lack of access to information means Parliament is not in a situation to properly scrutinise PESCO projects; reiterates its call to the Member States to submit an implementation report on PESCO projects to Parliament at least twice a year; further reiterates its call on the EEAS to regularly and comprehensively report on the implementation of the Strategic Compass and other security and defence initiatives and programmes to the Subcommittee on Security and Defence; further reiterates its call on the EEAS to regularly and comprehensively report on the implementation of the Strategic Compass, other security and defence initiatives and programmes and their assessment to Parliament’s Subcommittee on Security and Defence; stresses the need to improve the scrutiny of the implementation of defence industrial regulations by the introduction of the procedure for delegated acts;

    °

    ° °

    162. Instructs its President to forward this resolution to the European Council, the Council, the Vice-President of the Commission / High Representative of the Union for Foreign Affairs and Security Policy, the President of the Commission and competent Commissioners, the UN Secretary-General, the NATO Secretary General, the President of the NATO Parliamentary Assembly, the EU security and defence agencies and the governments and parliaments of the Member States and partner countries.

    * * *

     

    EXPLANATORY STATEMENT

    During the last years, and particularly since the beginning of Russia’s war of aggression against Ukraine, the EU has had to face multiple and unprecedented threats to its security and new crises in its close geographical environment, including the consequences of the Hamas terrorist attacks on Israel in October, 2023.

     

    The EU has reacted to these negative developments by involving more deeply in European security and defence, exploring new directions and launching new initiatives to strengthen and develop its defence capabilities in a collective and cooperative manner.

     

    This first annual report on the implementation of the EU common security and defence policy (CSDP) under the tenth parliamentary term aims to present the assessment of the European Parliament on CSDP progress in the current geopolitical and security context and thus responds to the report of the High Representative of the Union for Foreign Policy, published on 20 June 2024 and entitled “Common Foreign and Security Policy Report – Our Priorities in 2024”. It also provides recommendations on the main avenues for strengthening policies and actions for the future along several dimensions, including institutional decision-making progress, the joint development of military and armament capabilities and the means of financing them.

     

    ANNEX: ENTITIES OR PERSONS FROM WHOM THE RAPPORTEUR HAS RECEIVED INPUT

    Pursuant to Article 8 of Annex I to the Rules of Procedure, the rapporteur declares that he has received input from the following entities or persons in the preparation of the report, until the adoption thereof in committee:

    Entity and/or person

    ESCRIBANO MECHANICAL AND ENGINEERIING

    Apple Inc.

    TECNOBIT (Grupo Oesia)

    SOPRA STERIA GROUP

    Human Rights Working Group of NCRI

    American Chamber of Commerce in Belgium

    Boeing International Corporation, Belgium

    General Electric Company Honeywell Europe, RTX Corporation W.L.

    Gore

    Ericsson

    US. Mission to the European Union

    IQM Quantumm Computers

    Rasmussen Global

    Munich Security Conference

    General Electric Company

    Business Bridge Europe

    Airbus

    Atlantic Council of the United States, Inc

    International Centre for Ukrainian Victory

    Prisoner’s defenders International Network

    Official Spanish Chamber of Commerce in Belgium and Luxembourg

    Deloitte Advisory

    Amazon Europe Core

    Indra

    International Committee in Search of Justice

     

    The list above is drawn up under the exclusive responsibility of the rapporteur.

     

    Where natural persons are identified in the list by their name, by their function or by both, the rapporteur declares that he has submitted to the natural persons concerned the European Parliament’s Data Protection Notice No 484 (https://www.europarl.europa.eu/data-protect/index.do), which sets out the conditions applicable to the processing of their personal data and the rights linked to that processing

    MINORITY POSITION

     

    pursuant to Rule 55(4) of the Rules of Procedure

    by Özlem Alev Demirel, Marc Botenga, Giorgos Georgiou (The Left)

     

    This report rightly states that considering the conflicts in Ukraine, Middle East, Indo-Pacific are escalating; diplomacy, arms control/disarmament should play a crucial role. Simultaneously it denies the escalating EU-role through either direct participation in, or fuelling conflicts with arms exports. EU does not appear as diplomatic force.

     

    We reject this report since it

     

     uses Russia’s illegal war as pretext for massive armament and financing the defence industry, focuses solely on a military approach instead of diplomacy, demands secondary sanctions, calls for testing of (military) prototypes in cooperation with Ukrainian defence actors

     promotes concept of “dual use” and procurement of hypersonic weapons, electronic warfare capabilities together with NATO

     demands 0.25 % of MS GDP annually for military assistance for Ukraine, which will lead to cuts in social policy

     calls for military spending above NATO’s target of 2% GDP

     calls for lifting CFSP/CSDP  unanimity principle which further increases the power of big MS

     advocates youth, peace and security (YPS) agenda in view of cooperation between defence institutions and universities, including military courses/exercises

     

    We demand:

     establishment of a system of collective security along with diplomatic efforts to end ongoing wars and conflicts

     achieving peace through conflict resolution, confidence-building, serious arms control, disarmament measures

     strict application of Article 41.2 TEU

    INFORMATION ON ADOPTION IN COMMITTEE RESPONSIBLE

    Date adopted

    30.1.2025

     

     

     

    Result of final vote

    +:

    –:

    0:

    55

    19

    1

    Members present for the final vote

    Mika Aaltola, Petras Auštrevičius, Jordan Bardella, Dan Barna, Wouter Beke, Robert Biedroń, Ioan-Rareş Bogdan, Marc Botenga, Grzegorz Braun, Sebastião Bugalho, Danilo Della Valle, Özlem Demirel, Elio Di Rupo, Loucas Fourlas, Michael Gahler, Giorgos Georgiou, Raphaël Glucksmann, Bernard Guetta, Rima Hassan, Rasa Juknevičienė, Sandra Kalniete, Łukasz Kohut, Rihards Kols, Andrey Kovatchev, Vilis Krištopans, Nathalie Loiseau, Claudiu Manda, David McAllister, Vangelis Meimarakis, Sven Mikser, Francisco José Millán Mon, Arkadiusz Mularczyk, Leoluca Orlando, Kostas Papadakis, Tonino Picula, Thijs Reuten, Nacho Sánchez Amor, Andreas Schieder, Alexander Sell, Villy Søvndal, Davor Ivo Stier, Sebastiaan Stöteler, Stanislav Stoyanov, Marie-Agnes Strack-Zimmermann, Michał Szczerba, António Tânger Corrêa, Marta Temido, Cristian Terheş, Riho Terras, Hermann Tertsch, Pierre-Romain Thionnet, Sebastian Tynkkynen, Reinier Van Lanschot, Roberto Vannacci, Hilde Vautmans, Harald Vilimsky, Željana Zovko

    Substitutes present for the final vote

    Jaume Asens Llodrà, Malik Azmani, Engin Eroglu, Sandra Gómez López, Evin Incir, András László, Ana Catarina Mendes, Hans Neuhoff, Nicolás Pascual de la Parte, Chloé Ridel, Tineke Strik, Şerban Dimitrie Sturdza, Ingeborg Ter Laak, Matej Tonin, Ivaylo Valchev, Isabel Wiseler-Lima

    Members under Rule 216(7) present for the final vote

    Nikos Papandreou, Catarina Vieira

     

    MIL OSI Europe News

  • MIL-OSI: AvidXchange Announces Fourth Quarter & Full Year 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    • Healthy revenue growth coupled with gross and operating margin improvement drives strong year over year fourth quarter and full year 2024 financial results
    • 2024 GAAP earnings per share swings positive with net cash provided by operating activities up more than eight-fold to $71.9 million
    • Disciplined capital allocation highlighted by paydown of high-interest bank-debt and repurchase of $50 million out of the $100 million authorized in 2024
    • Sustained strong balance sheet with cash and marketable securities of $389.3 million with $9.1 million of long-term debt at year end 2024
    • 2025 business outlook reflects continued progress on margin expansion on a choppy macro backdrop

    CHARLOTTE, N.C., Feb. 26, 2025 (GLOBE NEWSWIRE) — AvidXchange Holdings, Inc. (Nasdaq: AVDX), a leading provider of accounts payable (AP) automation software and payment solutions for middle market businesses and their suppliers, today announced financial results for the fourth quarter and full year-ended December 31, 2024.

    “We are very pleased with our financial results, ending 2024 on solid financial footing. 2024 saw non-GAAP gross margin expansion to 73.6% from 69.4% in 2023, while adjusted EBITDA margins grew to 19.3% from 8.0% on the back of strong operating leverage. We remain in a strong financial position due to the strong execution on our transformational value proposition of accounts payable and payments automation aimed at our middle market buyer customers and their supplier customers through our proprietary two-sided network. With AvidXchange’s best-of-breed solution, we aim to unlock efficiency, visibility and control for our buyer customers’ procure-to-pay process, while advancing efficiency, predictability and support for our supplier customers’ order to cash needs. While we expect to see continued margin expansion in 2025, we are also anticipating that continued macro headwinds will impact revenue growth. That said, given the ERP integration and strategic partnerships signed in 2024, as the ones signed in 2023 begin to scale, combined with the ramp of our differentiated products such as Payment Accelerator 2.0 and Pay 2.0 as we seek to continue to leverage AI across our business ecosystem, we believe we are continuing to strengthen our competitive position while laying the building blocks for operating performance momentum as the year progresses, thereby advancing our growth, profit and value creation objectives,” said Michael Praeger, Chief Executive Officer & Co-Founder of AvidXchange.

    Fourth Quarter 2024 Financial Highlights:

    • Total revenue was $115.4 million, an increase of 10.9% year-over-year, compared with $104.1 million in the fourth quarter of 2023.
    • Revenue included interest income of $12.2 million compared with $13.7 million in the fourth quarter of 2023.
    • GAAP net income was $4.7 million, compared with a GAAP net loss of $(4.5) million in the fourth quarter of 2023.
    • Non-GAAP net income was $17.3 million, compared with $9.4 million in the fourth quarter of 2023.
    • GAAP gross profit was $78.8 million, or 68.2% of total revenue, compared with $67.3 million, or 64.6% of revenue in the fourth quarter of 2023.
    • Non-GAAP gross profit was $86.4 million, or 74.9% of total revenue, compared with $74.4 million, or 71.4% of revenue in the fourth quarter of 2023.
    • Adjusted EBITDA was $26.3 million compared with $15.6 million in the fourth quarter of 2023.

    A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables following the financial statements in this press release. An explanation of these measures is also included below under the heading “Non-GAAP Measures and Other Performance Metrics.”

    Fourth Quarter 2024 Key Business Metrics and Highlights:

    • Total transactions processed in the fourth quarter of 2024 were 19.9 million, an increase of 4.3% from 19.1 million in the fourth quarter of 2023.
    • Total payment volume in the fourth quarter of 2024 was $21.9 billion, an increase of 10.0% from $19.9 billion in the fourth quarter of 2023.
    • Transaction yield in the fourth quarter of 2024 was $5.80, an increase of 6.4% from $5.45 in the fourth quarter of 2023.

    Full Year 2025 Financial Outlook

    As of February 26, 2025, AvidXchange anticipates its Full Year 2025 revenue, adjusted EBITDA and Non-GAAP diluted earnings per share (EPS) to be in the following ranges (in millions, except per share data):                                                                       

          Current
    FY 2025 Guidance
     
        Revenue (1&2) $453.0 – $460.0  
        Adjusted EBITDA(1,2&3) $86.0 – $91.0  
        Non-GAAP Diluted EPS(3) $0.25 – $0.27  
             
    (1) The current FY 2025 guidance anticipates interest revenue contribution of approximately $44.0 million compared to $49.7 million in 2024.
    (2) The current FY 2025 guidance does not anticipate political revenues compared to approximately $6.6 million in 2024.
    (3) Reconciliation of adjusted EBITDA to GAAP net loss and Non-GAAP diluted EPS to basic and diluted EPS on a forward-looking basis is not available without unreasonable efforts due to the high variability, complexity and low visibility with respect to the items excluded from the non-GAAP measures.
       

    These statements are forward-looking and actual results may differ materially. Refer to the Forward-Looking Statements safe harbor below for information on the factors that could cause our actual results to differ materially from these forward-looking statements.

    Earnings Teleconference Information
    AvidXchange will discuss its fourth quarter & full year 2024 financial results during a teleconference today, February 26, 2025, at 10:00 AM ET. The call will be broadcast simultaneously via webcast at https://ir.avidxchange.com/. Following the completion of the call, a recorded replay of the webcast will be available on AvidXchange’s website. In addition to the conference call, supplemental information is available on the Investor Relations section of AvidXchange’s website at https://ir.avidxchange.com/.

    About AvidXchange™
    AvidXchange is a leading provider of accounts payable (“AP”) automation software and payment solutions for middle market businesses and their suppliers. AvidXchange’s software-as-a-service-based, end-to-end software and payment platform digitizes and automates the AP workflows for more than 8,500 businesses and it has made payments to more than 1,350,000 supplier customers of its buyers over the past five years. To learn more about how AvidXchange is transforming the way companies pay their bills, visit www.AvidXchange.com.

    Forward-Looking Statements
    This press release may contain “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. In this context, forward-looking statements generally relate to future events or our future financial or operating performance and often contain words such as: “anticipate,” “assume,” “intend,” “aim,” “plan,” “goal,” “seek,” “believe,” “outlook,” “project,” “estimate,” “expect,” “future,” “likely,” “may,” “should,” “continue,” “will” and similar words and phrases indicating future results. The information presented or statements made in this press release, or during the earnings call, related to our beliefs and expectations of future performance, including our plans, strategies and financial performance; our 2025 guidance including our expected revenue, Adjusted EBITDA, and Non-GAAP Diluted EPS for the full year 2025; the solid footing and continued strength of our financial position, operating leverage, and execution on behalf of buyers and suppliers; the macroeconomic outlook and potential impacts within verticals in which we have domain expertise; expectations regarding margin expansion, scalability, value, opportunity size, transformational aspect of impacts, penetration, and momentum derived from our integration and strategic partnerships and our new and existing products, services, and systems; our ability to leverage AI within our operations, products, and services; our competitive position including our customers’ perceptions of the value proposition of our AP automation software and payments services; the impact of our operating priorities on our potential growth and margin expansion; our ability to improve the customer experience across our suite of products and services; the timing of revenue impacts; and other statements that are not purely statements of historical fact, are forward-looking in nature.  These forward-looking statements are made on the basis of management’s current expectations, assumptions, estimates and projections and are subject to significant risks and uncertainties that could cause actual results to differ materially from those anticipated in such forward-looking statements. We therefore cannot guarantee future results, performance or achievements.   

    Factors which could cause actual results or effects to differ materially from those reflected in forward-looking statements include, but are not limited to, the risk factors and other cautionary statements described, from time to time, in AvidXchange’s filings with the Securities and Exchange Commission (“SEC”), including, without limitation, AvidXchange’s Annual Report on Form 10-K and other documents filed with the SEC, which may be obtained on the investor relations section of our website (https://ir.avidxchange.com/) and on the SEC website at www.sec.gov.  Any forward-looking statements made by us in this press release are based only on information currently available to us and speak only as of the date they are made, and we assume no obligation to update any of these statements in light of new information, future events or otherwise unless required under the federal securities laws.

    Non-GAAP Measures and Other Performance Metrics
    To supplement the financial measures presented in our press release and related conference call in accordance with generally accepted accounting principles in the United States (“GAAP”), we also present the following non-GAAP measures of financial performance: Non-GAAP Gross Profit, Non-GAAP Gross Margin, Adjusted EBITDA, Non-GAAP Net Income (Loss) and Non-GAAP Earnings Per Share.

    A “non-GAAP financial measure” refers to a numerical measure of our historical or future financial performance or financial position that is included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in our financial statements. We provide certain non-GAAP measures as additional information relating to our operating results as a complement to results provided in accordance with GAAP. The non-GAAP financial information presented herein should be considered in conjunction with, and not as a substitute for or superior to, the financial information presented in accordance with GAAP and should not be considered a measure of liquidity. There are significant limitations associated with the use of non-GAAP financial measures. Further, these measures may differ from the non-GAAP information, even where similarly titled, used by other companies and therefore should not be used to compare our performance to that of other companies.

    We have presented Non-GAAP Gross Profit, Adjusted EBITDA, Non-GAAP Net Income (Loss) and Non-GAAP Earnings Per Share in this press release. We define Non-GAAP Gross Profit & Gross Margin as revenue less cost of revenue excluding the portion of depreciation and amortization and stock-based compensation expense allocated to cost of revenues. We define Adjusted EBITDA as our net loss before depreciation and amortization, impairment and write-off of intangible assets, interest income and expense, income tax expense (benefit), stock-based compensation expense, transaction and acquisition-related costs expensed, change in fair value of derivative instrument, non-recurring items not indicative of ongoing operations, and charitable contributions of common stock. We define Non-GAAP Net Income (Loss) as net loss before amortization of acquired intangible assets, impairment and write-off of intangible assets, stock-based compensation expense, transaction and acquisition-related costs expensed, change in fair value of derivative instrument, non-recurring items not indicative of ongoing operations, acquisition-related effects on income tax, and charitable contributions of common stock. Non-GAAP income tax expense is calculated using our blended statutory rate except in periods of non-GAAP net loss when it is based on our GAAP income tax expense. In each case, non-GAAP income tax expense excludes the effects of acquisitions in the period on tax expense. We define Non-GAAP Earnings per Share as Non-GAAP Net Income (Loss) per diluted share.

    We believe the use of non-GAAP financial measures, as a supplement to GAAP measures, is useful to investors in that they eliminate items that are either not part of our core operations or do not require a cash outlay, such as stock-based compensation expense. Management uses these non-GAAP financial measures when evaluating operating performance and for internal planning and forecasting purposes. We believe that these non-GAAP financial measures help indicate underlying trends in the business, are important in comparing current results with prior period results and are useful to investors and financial analysts in assessing operating performance.

    Availability of Information on AvidXchange’s Website
    Investors and others should note that AvidXchange routinely announces material information to investors and the marketplace using SEC filings, press releases, public conference calls, webcasts, and the Investor Relations section of AvidXchange’s website. While not all information that AvidXchange posts to the Investor Relations website is of a material nature, some information could be deemed to be material. Accordingly, AvidXchange encourages investors, the media and others interested in AvidXchange to review the information that it shares at the Investor Relations link located at https://ir.avidxchange.com.  Users may automatically receive email alerts and other information about AvidXchange when enrolling an email address by visiting “Email Alerts” in the “Resources” section of AvidXchange’s Investor Relations website https://ir.avidxchange.com.

    Investor Contact:

    Subhaash Kumar
    Skumar1@avidxchange.com
    813.760.2309

     
    AvidXchange Holdings, Inc.
    Consolidated Statements of Operations
    (in thousands, except share and per share data)
     
        Three Months Ended
    December 31,
        Year Ended
    December 31,
     
        2024     2023     2024     2023  
    Revenues   $ 115,438     $ 104,064     $ 438,940     $ 380,720  
    Cost of revenues (exclusive of depreciation and amortization expense)     30,593       30,846       121,781       121,307  
    Operating expenses                        
    Sales and marketing     21,730       18,577       82,529       77,523  
    Research and development     25,073       24,939       101,110       97,555  
    General and administrative     26,862       26,579       99,526       101,924  
    Impairment and write-off intangible assets     124             286        
    Depreciation and amortization     8,677       9,397       36,284       35,912  
    Total operating expenses     82,466       79,492       319,735       312,914  
    Loss from operations     2,379       (6,274 )     (2,576 )     (53,501 )
    Other income (expense)                        
    Interest income     4,595       6,070       22,973       20,890  
    Interest expense     (2,057 )     (3,413 )     (11,331 )     (13,519 )
    Other income (expense)     2,538       2,657       11,642       7,371  
    Income (loss) before income taxes     4,917       (3,617 )     9,066       (46,130 )
    Income tax expense     246       856       921       1,195  
    Net income (loss)   $ 4,671     $ (4,473 )   $ 8,145     $ (47,325 )
    Net income (loss) per share attributable to common stockholders:                        
    Basic   $ 0.02     $ (0.02 )   $ 0.04     $ (0.23 )
    Diluted   $ 0.02     $ (0.02 )   $ 0.04     $ (0.23 )
    Weighted average number of common shares used to compute net income (loss) per share attributable to common stockholders:                        
    Basic     205,223,697       203,517,119       206,096,505       201,887,669  
    Diluted     207,252,025       203,517,119       209,158,393       201,887,669  
     
    AvidXchange Holdings, Inc.
    Consolidated Balance Sheets
    (in thousands, except share and per share data)
     
        As of December 31,  
        2024     2023  
    Assets            
    Current assets            
    Cash and cash equivalents   $ 355,637     $ 406,974  
    Restricted funds held for customers     1,250,346       1,578,656  
    Marketable securities     33,663       44,645  
    Accounts receivable, net of allowances of $4,279 and $4,231, respectively     51,671       46,689  
    Supplier advances receivable, net of allowances of $1,644 and $1,333, respectively     14,080       9,744  
    Prepaid expenses and other current assets     15,317       12,070  
    Total current assets     1,720,714       2,098,778  
    Property and equipment, net     97,592       100,985  
    Operating lease right-of-use assets           1,628  
    Deferred customer origination costs, net     28,119       27,663  
    Goodwill     165,921       165,921  
    Intangible assets, net     71,068       84,805  
    Other noncurrent assets and deposits     6,297       3,957  
    Total assets   $ 2,089,711     $ 2,483,737  
    Liabilities and Stockholders’ Equity            
    Current liabilities            
    Accounts payable   $ 15,494     $ 16,777  
    Accrued expenses     46,849       56,367  
    Payment service obligations     1,250,346       1,578,656  
    Deferred revenue     13,967       12,851  
    Current maturities of lease obligations under finance leases     103       275  
    Current maturities of lease obligations under operating leases     1,207       1,525  
    Current maturities of long-term debt     4,800       6,425  
    Total current liabilities     1,332,766       1,672,876  
    Long-term liabilities            
    Deferred revenue, less current portion     11,856       14,742  
    Obligations under finance leases, less current maturities     63,025       62,464  
    Obligations under operating leases, less current maturities     1,969       3,275  
    Long-term debt     4,300       69,760  
    Other long-term liabilities     3,962       4,175  
    Total liabilities     1,417,878       1,827,292  
    Commitments and contingencies            
    Stockholders’ equity            
    Preferred stock, $0.001 par value; 50,000,000 shares authorized, no shares issued and outstanding as of December 31, 2024 and 2023            
    Common stock, $0.001 par value; 1,600,000,000 shares authorized as of December 31, 2024 and 2023; 204,335,860 and 204,084,024 shares issued and outstanding as of December 31, 2024 and 2023, respectively     204       204  
    Additional paid-in capital     1,685,644       1,678,401  
    Accumulated deficit     (1,014,015 )     (1,022,160 )
    Total stockholders’ equity     671,833       656,445  
    Total liabilities and stockholders’ equity   $ 2,089,711     $ 2,483,737  
     
    AvidXchange Holdings, Inc.
    Consolidated Statements of Cash Flows
    (in thousands)
     
        Year Ended December 31,  
        2024     2023     2022  
    Cash flows from operating activities                  
    Net income (loss)   $ 8,145     $ (47,325 )   $ (101,284 )
    Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities                  
    Depreciation and amortization expense     36,284       35,912       32,842  
    Amortization of deferred financing costs     405       431       1,357  
    Debt extinguishment costs     1,081             1,579  
    Provision for doubtful accounts     3,508       2,957       4,989  
    Stock-based compensation     47,235       40,856       31,838  
    Accrued interest     629       728       815  
    Impairment and write-off on intangible and right-of-use assets     286             2,777  
    Loss on fixed asset disposal     159             36  
    Loss on ROU asset abandonment     897              
    Accretion of investments held to maturity     (4,062 )     (5,326 )     (2,108 )
    Value of donated common stock     1,868       1,667       1,473  
    Deferred income taxes     187       721       216  
    Changes in operating assets and liabilities                  
    Accounts receivable     (6,067 )     (8,289 )     (10,289 )
    Prepaid expenses and other current assets     (3,247 )     491       (2,324 )
    Other noncurrent assets     (1,208 )     1,605       (707 )
    Deferred customer origination costs     (456 )     621       (8 )
    Accounts payable     (1,286 )     2,862       (3,385 )
    Deferred revenue     (1,771 )     (1,956 )     (330 )
    Accrued expenses and other liabilities     (9,761 )     (16,981 )     14,036  
    Operating lease liabilities     (892 )     (523 )     (224 )
    Total adjustments     63,789       55,776       72,583  
    Net cash provided by (used in) operating activities     71,934       8,451       (28,701 )
    Cash flows from investing activities                  
    Purchases of marketable securities held to maturity     (120,223 )     (273,995 )     (385,022 )
    Proceeds from maturity of marketable securities held to maturity     135,268       345,661       276,144  
    Purchases of equipment     (2,063 )     (2,254 )     (3,149 )
    Purchases of real estate                 (767 )
    Purchases of intangible assets     (17,532 )     (16,050 )     (24,655 )
    Supplier advances, net     (6,760 )     (1,416 )     (2,899 )
    Net cash (used in) provided by investing activities     (11,310 )     51,946       (140,348 )
    Cash flows from financing activities                  
    Proceeds from the issuance of long-term debt                 67,367  
    Repayments of long-term debt     (68,175 )     (1,625 )     (106,390 )
    Principal payments on land promissory note           (4,800 )     (4,800 )
    Principal payments on finance leases     (298 )     (521 )     (844 )
    Proceeds from issuance of common stock     5,685       1,570       1,448  
    Proceeds from issuance of shares under ESPP     2,563       2,233       1,570  
    Payment of debt issuance costs     (1,529 )     (743 )     (1,212 )
    Repurchases of common stock     (50,107 )            
    Payment of acquisition-related liability     (100 )     (100 )     (344 )
    Payment service obligations     (328,310 )     294,832       41,478  
    Net cash (used in) provided by financing activities     (440,271 )     290,846       (1,727 )
    Net (decrease) increase in cash, cash equivalents, and restricted funds held for customers     (379,647 )     351,243       (170,776 )
    Cash, cash equivalents, and restricted funds held for customers                  
    Cash, cash equivalents, and restricted funds held for customers, beginning of year     1,985,630       1,634,387       1,805,163  
    Cash, cash equivalents, and restricted funds held for customers, end of year   $ 1,605,983     $ 1,985,630     $ 1,634,387  
        Year Ended December 31,  
        2024     2023     2022  
    Supplementary information of noncash investing and financing activities                  
    Property and equipment and intangible asset purchases in accounts payable and accrued expenses   $ 4     $ 675     $ 400  
    Right-of-use assets obtained in exchange for new finance lease obligations           81       712  
    Right-of-use assets obtained in exchange for new operating lease obligations           362       2,831  
    Common stock issued as contingent consideration                 344  
    Interest paid on notes payable     4,360       6,510       12,880  
    Interest paid on finance leases     5,941       5,857       5,774  
    Cash paid for income taxes     1,046       304       125  
     
    AvidXchange Holdings, Inc.
    Reconciliation of GAAP to Non-GAAP Measures
     
        Three Months Ended
    December 31,
        Year Ended
    December 31,
     
    Reconciliation from Revenue to Non-GAAP Gross Profit and Non-GAAP Gross Margin   2024     2023     2024     2023  
    (in thousands, except percentages)                        
    Total revenues   $ 115,438     $ 104,064     $ 438,940     $ 380,720  
    Expenses:                        
      Cost of revenues (exclusive of depreciation and amortization expense)     (30,593 )     (30,846 )     (121,781 )     (121,307 )
      Depreciation and amortization expense     (6,063 )     (5,949 )     (24,138 )     (22,106 )
    GAAP Gross profit   $ 78,782     $ 67,269     $ 293,021     $ 237,307  
    Adjustments:                        
      Stock-based compensation expense     1,594       1,135       6,104       4,687  
      Depreciation and amortization expense     6,063       5,949       24,138       22,106  
    Non-GAAP gross profit   $ 86,439     $ 74,353     $ 323,263     $ 264,100  
    GAAP Gross margin     68.2 %     64.6 %     66.8 %     62.3 %
    Non-GAAP gross margin     74.9 %     71.4 %     73.6 %     69.4 %
     
    AvidXchange Holdings, Inc.
    Reconciliation of GAAP to Non-GAAP Measures (Continued)
     
        Three Months Ended
    December 31,
        Year Ended
    December 31,
     
    Reconciliation from Net Income (Loss) to Non-GAAP Net Income   2024     2023     2024     2023  
    (in thousands)                        
    Net income (loss)   $ 4,671     $ (4,473 )   $ 8,145     $ (47,325 )
    Exclude: Provision for income taxes     246       856       921       1,195  
    Income (loss) before taxes     4,917       (3,617 )     9,066       (46,130 )
    Amortization of acquired intangible assets     2,910       3,623       13,150       14,493  
    Impairment and write-off of intangible assets     124             286        
    Stock-based compensation expense     12,107       9,675       47,235       40,856  
    Transaction and acquisition-related costs (1)     290             1,371       (7 )
    Non-recurring items not indicative of ongoing operations (2)     861       1,133       252       5,541  
    Charitable contribution of stock     1,868       1,667       1,868       1,667  
    Total net adjustments     18,160       16,098       64,162       62,550  
    Non-GAAP income before taxes     23,077       12,481       73,228       16,420  
    Non-GAAP tax expense (3)   $ 5,746     $ 3,108     $ 18,234     $ 4,089  
    Non-GAAP net income   $ 17,331     $ 9,373     $ 54,994     $ 12,331  
                             
    Weighted-average shares used to compute Non-GAAP net income per share attributable to common stockholders, basic     205,223,697       203,517,119       206,096,505       201,887,669  
    Weighted-average shares used to compute Non-GAAP net income per share attributable to common stockholders, diluted     207,252,025       207,367,561       209,158,393       205,579,485  
                             
    GAAP Net income (loss) per share attributable to common stockholders, basic   $ 0.02     $ (0.02 )   $ 0.04     $ (0.23 )
    GAAP Net income (loss) per share attributable to common stockholders, diluted   $ 0.02     $ (0.02 )   $ 0.04     $ (0.23 )
                             
    Non-GAAP basic net income per share attributable to common stockholders, basic   $ 0.08     $ 0.05     $ 0.27     $ 0.06  
    Non-GAAP basic net income per share attributable to common stockholders, diluted   $ 0.08     $ 0.05     $ 0.26     $ 0.06  
                             
    GAAP income (loss) per common share, basic and diluted   $ 0.02     $ (0.02 )   $ 0.04     $ (0.23 )
    Amortization of acquired intangible assets     0.01       0.02       0.06       0.07  
    Impairment and write-off of intangible assets                        
    Stock-based compensation expense     0.06       0.05       0.23       0.20  
    Transaction and acquisition-related costs (1)                 0.01        
    Non-recurring items not indicative of ongoing operations (2)           0.01             0.03  
    Charitable contribution of stock     0.01       0.01       0.01       0.01  
    Provision for income taxes     (0.03 )     (0.01 )     (0.08 )     (0.01 )
    Adjustment to fully diluted earnings per share     0.01       (0.01 )     (0.01 )     (0.01 )
    Non-GAAP diluted income per common share   $ 0.08     $ 0.05     $ 0.26     $ 0.06  
     
    AvidXchange Holdings, Inc.
    Reconciliation of GAAP to Non-GAAP Measures (Continued)
     
        Three Months Ended
    December 31,
        Year Ended
    December 31,
     
    Reconciliation of Net Income (Loss) to Adjusted EBITDA   2024     2023     2024     2023  
    (in thousands)                        
    Net income (loss)   $ 4,671     $ (4,473 )   $ 8,145     $ (47,325 )
    Depreciation and amortization     8,677       9,397       36,284       35,912  
    Impairment and write-off intangible assets     124             286        
    Interest income     (4,595 )     (6,070 )     (22,973 )     (20,890 )
    Interest expense     2,057       3,413       11,331       13,519  
    Provision for income taxes     246       856       921       1,195  
    Stock-based compensation expense     12,107       9,675       47,235       40,856  
    Transaction and acquisition-related costs (1)     290             1,371       (7 )
    Non-recurring items not indicative of ongoing operations (2)     861       1,133       252       5,541  
    Charitable contribution of stock     1,868       1,667       1,868       1,667  
    Adjusted EBITDA   $ 26,306     $ 15,598     $ 84,720     $ 30,468  
        As of and for the Year Ending December 31,  
    Annual Metrics   2024     2023     2022  
    Total payment volume (in millions)   $ 83,842     $ 75,922     $ 68,202  
    Transactions     79,123,540       75,330,634       70,168,806  
    Buyers (4)     8,500       8,000       7,400  
    Suppliers paid over the past 5 years     1,350,000       1,200,000       965,000  
    (1) For the three and twelve months ended December 31, 2024, this amount is comprised of debt issuance costs written-off related to the repayment of the Company’s term loan.
    (2) For the year ended December 31, 2024, this amount includes $1,157 of severance costs and a net benefit of $1,808 of response costs incurred in connection with the cybersecurity incident that was detected in April 2023 in addition to $707 of net costs related to lease abandonment and other real estate related amounts. For the three months ended December 31, 2023, this amount is primarily comprised of $1,880 of restructuring costs, $507 of insurance recoveries related to the cybersecurity incident that was detected in April 2023, and $176 benefit from the adjustment of accruals related to costs incurred in connection with the cybersecurity incident. For the year ended December 31, 2023, this amount is primarily comprised of $3,698 of response costs, including professional services and legal fees, incurred in connection with the cybersecurity incident, net of insurance recoveries and $1,880 of restructuring costs.
    (3) Non-GAAP tax expense is based on the Company’s blended tax rate of 24.9 in periods the Company has Non-GAAP income before tax. In periods the Company is in a non-GAAP loss position, tax expense is based on GAAP tax expense.
    (4) Excludes Create-a-Check customers

    The MIL Network

  • MIL-OSI United Kingdom: Court and tribunal fees: updates from April 2025

    Source: United Kingdom – Executive Government & Departments

    News story

    Court and tribunal fees: updates from April 2025

    An update on upcoming increases to selected court and tribunal fees.

    In early April 2025, and subject to parliamentary approval, the Ministry of Justice will increase 171 court and tribunal fees to account for changes to the Consumer Price Index (CPI). The income generated from these uplifts will help to support the efficient and effective running of His Majesty’s Courts and Tribunal Service (HMCTS).  

    The department recovers a modest contribution towards the costs of providing HMCTS services from court and tribunal users, where they can afford to do so. The department has a history of increasing court and tribunal fees by inflation to ensure that fees keep pace with increased costs to HMCTS as a result of the general rise in prices, while at the same time minimising the cost to the taxpayer.   

    The majority of the 171 fees in scope will be increased by 3.2% to reflect the change in CPI between March 2023 and March 2024, with a small number of fees increased by 13.5% to reflect backdated inflation to March 2022. These fee increases are all rounded to the nearest pound. These fee changes will produce a significant level of additional funding that will go towards improving service delivery, subsidising the cost of related court and tribunal services for which we do not charge a fee, and reducing the overall cost to the taxpayer. 

    The Help with Fees remissions scheme remains available for those with lower financial means who are unable to afford a court or tribunal fee. More information on the scheme can be found on GOV.UK

    As well as increasing fees, the department will be reducing the value of a further 24 fees to ensure they remain aligned with the latest estimate of their underlying cost.  

    A full list of the fee changes, including the 171 to be increased and the 24 to be reduced, can be found in the table below. The government’s intention is for the changes to go live from 1 April for applications received by courts or tribunals on or after that date. Until then, the current fees will continue to apply.  

    Civil Proceedings Fees Order 2008 

    SI Reference ID Description Current New
    1.4a Recovery of Land (High Court) £528 £545
    1.4b Recovery of Land (County Court) £391 £404
    1.5 Any other remedy (County Court) £365 £377
    1.5 Any other remedy (High Court) £626 £646
    1.6 Filing proceedings against an unnamed party £65 £67
    1.8a Permission to issue proceedings £65 £67
    1.8b Assessment of costs (under Part 3, Solicitors Act 1974) £65 £67
    1.9a For permission to apply for judicial review £169 £174
    1.9b On applying for a request to reconsider at a hearing a decision on permission £424 £438
    1.9ba On an application for judicial review where fee 1.9(b) has been paid and permission is granted at a hearing £385 £436
    1.9c Permission to proceed with judicial review if started with application for permission to apply for JR £847 £874
    1.9d Permission to proceed with judicial review where started other than with permission to apply for JR £169 £174
    2.1a Hearing fee: Multi track case £1,175 £1,334
    2.1b Hearing fee: Fast track case £545 £619
    2.2 Appellant’s/respondent’s notice (High Court) £285 £294
    2.3a Appellant’s/respondent’s notice (County court small claims) £142 £147
    2.3b Appellant’s/respondent’s notice (County court other claims) £166 £171
    2.4(a) General application (on notice) excluding Protection from Harassment Act 1997 & Court Fund Pay Out £303 £313
    2.4(b) General application (on notice) Protection from Harassment Act 1997 & Court Fund Pay Out £184 £190
    2.5(a) General application (by consent/without notice) excluding Protection from Harassment Act 1997 & Court Fund Pay Out £119 £123
    2.5(b) General application (by consent/without notice) Protection from Harassment Act 1997 & Court Fund Pay Out £59 £61
    2.6 Application for summons or order for witness to attend court £21 £4
    2.8 Issue of a certificate of satisfaction £15 £19
    3.1b Petition for bankruptcy (presented by creditor/other person) £332 £343
    3.4(a) Request for a certificate of discharge from bankruptcy £75 £22
    3.7 Voluntary winding up fee £50 £16
    3.9 Submission of nominees report £35 £11
    3.11 Application within proceedings (by consent/without notice) £29 £30
    3.12 Application within insolvency proceedings (with notice, where no other fee is specified) £109 £112
    3.13 Search of bankruptcy and company records (County Court) £45 £11
    3.2 Petition for an administration order £332 £343
    3.3 Any other petition £332 £343
    3.5 Insolvency – other application £308 £318
    3.8 Notice of intention to appoint administrator £55 £57
    5.3 Issue of default costs certificate – Civil £78 £80
    5.4 Appeal (detailed assessment proceedings) – Civil £274 £283
    5.5 Request/application to set aside a default costs certificate £143 £148
    6.1 On the filing of a request for detailed assessment for Court of Protection £96 £99
    6.2 Appeal against a Court of Protection costs assessment decision £77 £79
    6.3 Request to set aside a default Court of Protection costs certificate £72 £74
    7.1 Sealing a writ of control/possession/delivery (High Court) £78 £80
    7.2 Order requiring a judgment debtor or other person to attend court £65 £67
    7.3a Third party debt order or the appointment of a receiver by way of equitable execution £131 £135
    7.3b Application for a charging order £131 £135
    7.4 Application for a judgment summons £131 £135
    7.5 Register a judgment or order, or for permission to enforce an arbitration award, or for a certificate or a certified copy of a judgment or order for use abroad £78 £80
    8.1 Issue warrant of control £91 £94
    8.2 Request for attempt of execution of a warrant at new address £36 £37
    8.3 Order requiring judgment debtor to attend court £65 £67
    8.4a Application for a third party debt order £131 £135
    8.4b Application for a charging order £131 £135
    8.5 Application for a judgment summons £131 £135
    8.6 Issue of a warrant of possession/warrant of delivery £143 £148
    8.7 Application for an attachment of earnings order – Civil £131 £135
    8.9 Application for enforcement of an award of a sum of money or any other decision made by any court, tribunal, body or person £52 £54
    8A.1 Service by a bailiff of an order to attend County Court for questioning £131 £135
    10.1 Bills of sale £33 £34
    10.4 Appointment of a High Court judge as arbitrator or umpire £671 £692
    10.5 Hearing before a High Court judge (per day or part day) as arbitrator or umpire £671 £692
    11.1 On the issue of a warrant for the arrest of a ship or goods £20 £21
    13.1a Filing an appellant’s/respondent’s notice in the Court of Appeal where permission to appeal/extension of time is applied for £626 £646
    13.1b Filing an appellant’s/respondent’s notice in the Court of Appeal where permission to appeal is not required or has been granted £1,421 £1,466
    13.1c Court of Appeal – Appellant/respondent filing an appeal questionnaire £1,421 £1,466
    13.2 Court of Appeal – On filing a respondent’s notice £569 £587
    13.3 Court of Appeal – On filing an application notice £626 £646

    Magistrates’ Court Fees Order 2008

    SI Reference ID Description Current New
    1.1 Application for a justice of the peace to perform function not on court premises £28 £29
    2.1 Application to state a case for the opinion of the High Court £151 £156
    2.2 Appeal (deduction from earnings order) £21 £22
    2.3 Appeal – proceedings under Schedule 5, Licensing Act 2003 £68 £70
    2.4 Appeal (no other fee specified) £68 £70
    3.2 Request for a certificate of satisfaction £18 £19
    3.3 Request for a certified copy of a memorandum of conviction £20 £15
    3.4 Request for certificate/certified document (no fee specified) £22 £23
    4.2 Application for Child Support Liability Order £25 £14
    6.1 Request for licence/consent/authority (no other fee specified) £30 £31
    6.2 Application for renewal/variation of an existing licence £30 £31
    6.3 Application for the revocation of licence (no other fee specified) £30 £31
    7.2 For every oath (etc) where no other fee is specified £30 £31
    8.1 Commencing proceedings where no other fee is specified £249 £284
    8.2a Application for leave/permission to commence proceedings (no other fee specified) £138 £142
    8.2b Commencing proceedings where leave/permission has been granted £138 £142
    8.3 Contested hearing £567 £644
    9.2 Application for any other warrant (no other fee specified) £89 £92
    10.1 Application for a warrant of commitment (council tax proceedings) £264 £212
    10.2 Application for a warrant of commitment (Child Support Act 1991) £45 £46

    Family Proceedings Fees Order 2008

    SI Reference ID Description Current New
    1.1 Originating proceedings where no other fee is specified £270 £279
    1.2 Application for a divorce, nullity or civil partnership dissolution £593 £612
    1.3 Application for matrimonial or civil partnership order £402 £415
    1.5 Amendment of application for matrimonial/civil partnership order £95 £59
    1.6 Answer to application for matrimonial/civil partnership order £245 £234
    1.7 On application for an order of assessment of costs £55 £57
    1.8 Application for parental order £255 £263
    2.1a Parental responsibility (section 4(1)(c) or (3), 4A(1)(b) or(3) of the Children Act 1989) £255 £263
    2.1b Parental responsibility (section 4ZA(1)(c) or (6) of the Children Act 1989) £255 £263
    2.1c Guardians (section 5(1) or 6(7) of the Children Act 1989) £255 £263
    2.1d Section 8 orders (section 10(1) or (2) of the Children Act 1989) £255 £263
    2.1e Enforcement orders (section 11J(2) of the Children Act 1989) £255 £263
    2.1f Compensation for financial loss (section 11O(2) of the Children Act 1989) £255 £263
    2.1g Change of child’s surname or removal from jurisdiction while residence order in force (section 13(1) of the Children Act 1989) £255 £263
    2.1h Special guardianship orders (section 14A(3) or (6)(a), 14C(3) or 14D(1) of the Children Act 1989) £255 £263
    2.1i Secure accommodation order (section 25 of the Children Act 1989) – England £255 £263
    2.1ia Secure accommodation order (section 25 of the Social Services and Well-being (Wales) Act 2014) £255 £263
    2.1j Change of child’s surname or removal from jurisdiction while care order in force (section 33(7) of the Children Act 1989) £255 £263
    2.1k Contact with child in care (section 34(2), (3), (4) or (9) of the Children Act 1989) £255 £263
    2.1l Education supervision order (section 36(1) of the Children Act 1989) £255 £263
    2.1m Variation or discharge etc of care and supervision orders (section 39 of the Children Act 1989) £255 £263
    2.1n Child assessment order (section 43(1) of the Children Act 1989) £255 £263
    2.1o Emergency protection orders (sections 44, 45 and 46 of the Children Act 1989) £255 £263
    2.1p Warrant to assist person exercising powers under emergency protection order (section 48 of the Children Act 1989) £255 £263
    2.1q Recovery order (section 50 of the Children Act 1989) £255 £263
    2.1s Warrant to assist person exercising powers to search for children or inspect premises (section 102 of the Children Act 1989) £255 £263
    2.1t Applications in respect of enforcement orders (under Schedule A1 of the Children Act 1989) £112 £116
    2.1u Amendment of enforcement order by reason of change of address (under Schedule A1 of the Children Act 1989) £77 £79
    2.1v Financial provision for children (paragraph 1(1) or (4), 2(1) or (5), 5(6), 6(5), (7) or (8), 8(2), 10(2), 11 or 14(1) of Schedule 1 of the Children Act 1989) £255 £263
    2.1w Approval of court for child in care of local authority to live abroad (paragraph 19(1) of Schedule 2 of the Children Act 1989) – England £255 £263
    2.1wa Approval of court for child in care of local authority to live abroad (Wales) £255 £263
    2.1x Extension of supervision order (paragraph 6 of Schedule 3 of the Children Act 1989) £255 £263
    2.1y Extension or discharge of education supervision order (paragraph 15(2) or 17(1) of Schedule 3 of the Children Act 1989) £255 £263
    2.1z Appeals concerning foster parents (paragraph 8(1) of Schedule 8 of the Children Act 1989) £255 £263
    2.2 Care and supervision order (Section 31 of the Children Act 1989) £2,437 £2,515
    2.3 Appeal relating to Children Act fees 2.1(a) to 2.1(s) (v) to (y) and 2.2) £237 £245
    2.4 Appeal against a contribution order – England £237 £245
    2.5 Appeal against a contribution order – Wales £237 £245
    2.6(a) Section 72 Cancellation, variation or removal or imposition of condition of registration of child minder or day carer (England) £255 £263
    2.6(b) Section 34 Cancellation of registration of child minder or day carer (Wales) £255 £263
    2.7 Commencing child mind or day carer appeal for application (England or Wales) £237 £245
    3.1 Application/permission to apply for adoption £201 £207
    3.2 Application for a placement order (under Section 22 of the Adoption and Children Act 2002) £539 £556
    3.3 Application to the High Court with regards to inherent jurisdiction with respect to children £201 £207
    4.1 On an application for a warning notice to be attached to a contact order £54 £56
    5.1 Application (without notice) £58 £60
    5.2 Application for decree nisi, conditional order, separation order (no fee if undefended) £59 £61
    5.3 Application (on notice) (unless otherwise listed) £184 £190
    5.4 Application for a financial order (other than consent order) £303 £313
    6.1 Filing an appeal notice from a district judge, one or more lay justices, a justices’ clerk or an assistant to a justices’ clerk £138 £142
    7.2 Search of central index of parental responsibility agreements £45 £17
    9.2(d) On filing a request for detailed assessment where fee 9.1 does not apply £1,345 £1,365
    9.3 Issue of default costs certificate £65 £18
    9.4 Appeal (detailed assessment proceedings) – Family £231 £238
    9.5 Request/application to set aside a default costs certificate £121 £125
    10.2 Application for a maintenance order to be registered under the Maintenance Orders 1950 or 1958 Act £55 £57
    11.1 Application for order for financial provision £237 £245
    12.1 Application to question a judgment debtor or other person £59 £61
    12.2 Application for a third party debt order/appointment of a receiver £85 £88
    12.3 Application for a charging order £42 £43
    12.4 Application for a judgment summons £80 £83
    12.5 Application for an attachment of earnings order – Family £37 £38
    13.1 Application for enforcement of a judgment or order – warrant of control against goods £110 £114
    13.2 On a request for further attempt at execution of a warrant at a new address where the warrant has been returned to the court not executed £30 £6
    13.3 Issue for a warrant of possession or a warrant of delivery £131 £135
    14.1 Sealing a writ of execution/possession/delivery £66 £68
    14.2 On a request or application to register a judgment or order; or for permission to enforce an arbitration award; or for a certified copy of a judgment or order for use abroad £66 £68
    15.1 Request for service by a bailiff of document (see order for exceptions) £45 £46

    Upper Tribunal (Lands Chamber) Fees Order 2009

    SI Reference ID Description Current New
    1 Permission to appeal r21 £242 £250
    2 Notice of reference r28 / appeal r24 £303 £313
    3 Absent owner application (Compulsory Purchase Act 1965) £550 £624
    4 Restrictive covenant application r32 re s84 Law of Property Act 1925 £968 £999
    5a Rights of light application r41 to s2 Rights of Light Act 1959 – Definitive certificate £1,320 £775
    5b Rights of light application r41 to s2 Rights of Light Act 1959 – Temporary & Definitive certificate £1,650 £761
    6 Interlocutory application £121 £125
    11a Hearing as to entitlement – s84 Law of Property Act 1925 – discharge/modify restrictive covenant £605 £624
    11b Order without hearing (r46) – s84 Law of Property Act 1925 – discharge/modify restrictive covenant £275 £166
    11c Substantive hearing of originating application – s84 Law of Property Act 1925 – discharge/modify restrictive covenant £1,210 £1,249
    11d Engrossing Minutes of Order – s84 Law of Property Act 1925 – discharge/modify restrictive covenant £220 £41
    12 Hearing or preliminary hearing of reference/appeal (no amount awarded) £605 £624

    Upper Tribunal (Immigration and Asylum Chamber) (Judicial Review) (England and Wales) Fees Order 2011

    SI Reference ID Description Current New
    1.1 Permission to apply for Judicial Review £169 £174
    1.1a Judicial Review – Oral renewal £424 £438
    1.2a Proceed with Judicial Review – permission granted at oral hearing £385 £436
    1.2b Proceeding with Judicial Review after permission granted £847 £874
    1.3 Permission for Judicial Review – permission to proceed where proceedings started otherwise than by application for permission £169 £174
    2.1 Judicial Review General Application – On notice (where no other fee is specified) £281 £290
    2.2 Judicial Review General Application – By consent or without notice (where no other fee is specified) £110 £114
    2.3 Judicial Review – Application for a summons or order for a witness to attend the Tribunal £55 £57

    Non-Contentious Probate Fees Order 2004

    SI Reference ID Description Current New
    3.1 Duplicate/second grant for same deceased person £20 £21
    6 Deposit of wills £22 £23
    7 Inspection of will/other document retained by the registry £20 £23
    11 Settling documents £4 £5

    First-tier Tribunal (Property Chamber) Fees Order 2013

    SI Reference ID Description Current New
    1.1 Commence proceedings (application or appeal) in a leasehold or residential property case, where no other fees applies £110 £114
    1.2 File proceedings for approval of the exercise of a power of entry £110 £114
    1.3 Mobile homes application (pitch fee other than Local Authority sites) £22 £23
    1.4 Mobile Homes – Application for determination to take into account cost of owner improvements – para 1.4 £22 £23
    1.5 Mobile Homes – Determination of Local Authority pitch fee £22 £23
    1.6 Mobile Homes – Application for determination to take into account cost of owner improvements – para 1.6 £22 £23
    2.1 Notice of hearing date for 1.1 or 1.2 application – only one payable if applications joined together £220 £227

    First-tier Tribunal (Gambling) Fees Order 2010

    SI Reference ID Description Current New
    1.1* Appeal s141 Gambling Act 2005 – casino operating licence s65(2)(a) £14,000 £4,521
    1.3* Appeal s141 Gambling Act 2005 – general betting operating licence s65(2)(c) £10,000 £4,521
    1.4* Appeal s141 Gambling Act 2005 – pool betting operating licence s65(2)(d) £10,000 £4,521
    1.5* Appeal s141 Gambling Act 2005 – better intermediary operating licence s65(2)(e) £10,000 £4,521
    1.10* Appeal s141 Gambling Act 2005 – lottery operating licence s65(2)(j) £9,400 £4,521
    1.11 Appeal s141 Gambling Act 2005 – personal management office licence s127 £1,760 £1,816
    1.12 Appeal s141 Gambling Act 2005 – personal operational function licence s127 of that Act £880 £908
    2 Appeal s337(1) Gambling Act 2005 – order to void a bet s336(1) £9,400 £4,521

    Court of Protection Fees Order 2007

    SI Reference ID Description Current New
    4 Application fee (Article 4) £408 £421
    5 Appeal fee (Article 5) £257 £265
    6 Hearing fee (Article 6) £494 £259

    Gender Recognition (Application Fees) Order 2006

    SI Reference ID Description Current New
    2 Application for a Gender Recognition Certificate £5 £6

    *Please note that fees 1.1 – 1.10 in the First-tier Tribunal (Gambling) Fees Order 2010 will all be consolidated under one fee at £4,521 from 1st April.

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Trials for contactless ticketing in the North and Midlands takes another step closer

    Source: United Kingdom – Executive Government & Departments

    Press release

    Trials for contactless ticketing in the North and Midlands takes another step closer

    Contactless will offer simpler ticketing and a better experience for rail customers.

    • contactless ticketing is on its way to the North and Midlands with trials later this year 
    • Yorkshire and the East Midlands will be the first to try out the new simpler way to travel 
    • part of wider moves to overhaul the railways to put passenger experience at the forefront

    Plans to trial simpler and more flexible ticketing across the North and Midlands have taken one step closer this week with trials on track for later this year.

    The government is kickstarting the procurement process to find the suppliers who will run the technology for the trials across the East Midlands and Yorkshire. The successful bidders will work alongside Northern and East Midlands Railways to deliver the trials.

    Unlike the previous roll out of pay as you go, these trials will use Global Positioning System (GPS) based technology. This will track your location on your train journey, ensuring you pay the best fare for the journey you take. For ticket inspections and to go through ticket barriers, a unique bar code will pop up in the app to be scanned. 

    The use of contactless ticketing offers passengers simpler, more accessible and more flexible train travel as well as a guarantee of the best value ticket on the day. By saving both time and money on a number of journeys, the trials will help to improve living standards and make working people better off – delivering on the government’s Plan for Change.

    Backed by government funding, the trials are part of plans to modernise our transport system, put passenger experience at the heart of the railways and drive more people back onto trains building on the government’s mission to deliver growth.

    Rail Minister, Lord Peter Hendy, said:

    We’ve seen the success that contactless ticketing has on making journeys easier to navigate and attracting more people to our railways.

    It’s only right that we now look to expand contactless ticketing to other major cities across the North and Midlands, ensuring they can reap the economic benefits that simpler ticketing offers and that passengers are having a better experience.

    Jacqueline Starr, Chief Executive Officer of Rail Delivery Group, said:

    We are proud to support the pay as you go trials in Yorkshire and East Midlands. This is another step in making fares and ticketing easier for everyone.

    We are committed to developing a simpler fare system that not only meets passengers’ expectations but also supports the long-term growth of rail travel making customers experience of the railway better.

    This follows the roll out of contactless ticketing at 53 stations across the South East. In the first 6 months of contactless ticketing being available at the first 6 stations, more than 268,000 entries and exits were made using contactless cards or mobile devices – showing how popular the system is with customers using those stations already. 

    The department is also working closely with Greater Manchester and the West Midlands to develop their proposals for rolling out contactless ticketing even further.

    Alex Hornby, Commercial and Customer Director at Northern, said:

    Historically, ticketing across the rail industry has been far too complicated and so anything that makes the customer experience simpler has my vote.

    We’ve already seen a huge swing away from physical tickets to digital alternatives, which now make up over 80% of journeys on our network. The option to pay as you go is a development of that trend which we’re looking forward to introducing on selected routes very soon.

    Oli Cox, Head of Commercial Strategy and Business Planning at East Midlands Railway, said:

    We’re excited to be trialling digital pay as you go between Derby, Nottingham, and Leicester, making rail travel simpler and more convenient for our customers.

    We know that complex fares can sometimes be a barrier to travel, and this trial will help to remove that uncertainty – allowing customers to simply tap in and out via their phone – confident that they’re getting the best value fare for their journey.

    Last week, the government launched a consultation on a landmark bill to rewire Britain’s railways, including committing to a further overhaul of ticketing and setting up a powerful passenger watchdog to give passengers a voice and hold train operators to account.

    Rail media enquiries

    Media enquiries 0300 7777878

    Switchboard 0300 330 3000

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: More than £100 million in Indian investment creating UK jobs

    Source: United Kingdom – Executive Government & Departments

    Press release

    More than £100 million in Indian investment creating UK jobs

    New Indian investment deals worth over £100 million demonstrate investors’ confidence in the UK.

    • UK welcomes latest Indian investments, demonstrating investors’ confidence in doing business 

    • New deals will create jobs as the government continues to focus on delivering economic growth under the Plan for Change 

    • Recent Indian budget drives more opportunity for UK insurance companies to expand presence in India 

    Recent investment wins for the UK worth over £100 million from Indian companies are being celebrated as proof the government’s Plan for Change is providing global investors with the confidence they need to do business in the UK. 

    Trade Secretary Jonathan Reynolds has been in New Delhi this week, as the UK Government relaunched talks on a trade deal with India to bring more opportunity to UK businesses and deliver on its core mission to grow the economy, as part of the Plan for Change.  

    UK Investment Minister Poppy Gustafsson is in Bangaluru on the second leg of a two-city visit to India to bang the drum for Britain, champion free trade and promote exciting investment opportunities in the UK economy.   

    Recent Indian investments in the UK cover a range of sectors including AI, professional services and textiles and are expected to create hundreds of new jobs over the next three years. 

    This continues the trend of strong Indian investment into the UK in recent years, with the last year-on-year change showing the value of inward FDI stock from India having increased 28% at the end of 2023. India has remained the second largest investor in terms of number of projects into the UK for five consecutive years. 

    The deals come as UK insurance companies gain more potential to expand in India thanks to the recent Indian budget which increased the amount of FDI permitted in the insurance sector from 74% to 100%. 

    Business and Trade Secretary Jonathan Reynolds said: 

    “These investment deals will deliver more than £100 million for the UK economy, creating jobs, strengthening growth, and helping working people.  

    “They prove that the government’s Plan for Change is giving Indian businesses the confidence they need to continue investing in Britain.  

    “Now the UK will strive to be more ambitious and collaborative than ever before as we show the world why the UK is the best place to invest.” 

    The investment announcements include: 

    • Aaseya Technologies, professional services company specialising in digital transformation through automation, is growing its presence in London and creating up to 250 new jobs over three years with a £25 million investment.  

    • Sastra Robotics is investing £8 million in Manchester over three years, creating 75 new jobs. The investment aims to expand the company’s robotics innovation and development. This is the first time a robotics company from South India has invested in the UK. 

    • AI CyberIntel company Deepcytes has set up its global headquarters in London, investing £5 million and creating 80 jobs in the next three years to combat problems of anti-bullying and cyber frauds.  

    • University Living, a global student housing managed marketplace, plan to open a new UK office, investing £10 million and creating 50 jobs over three years. 

    • One of the largest producers of hand-knotted rugs in India, Jaipur Rugs have opened a store in London and are looking to create 75 jobs through a £5 million investment over the next three years.  

    • Time Cinemas have established their global headquarters in the UK, introducing The Black Box by Time, an innovative, patent applied, cloud platform solution that empowers filmmakers, content creators, producers, and distributors to reach out to a much wider cinema audience across geographies. This expansion will create 75 new jobs in London over the next three years, supported by a capital expenditure of £20 million. 

    • Novigo solutions, a technology-focused organisation specialising in end-to-end IT services, technology consulting, business consulting, analytics, and robotic process automation, has started its operation in Warwick by investing £12 million and creating 75 jobs over three years.  

    • Test Yantra, one of India’s largest testing and training services companies, is investing £10 million and creating 100 jobs over the next three years.  

    • Zoondia software, a leading provider of technology solutions, AI solutions, custom software development, IOT, data analytics and resource augmentation areas, is investing £10 million and creating 60 jobs over three years.   

    Notes to editors 

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: UK firms rake in ‘tens of millions’ in exports to India

    Source: United Kingdom – Executive Government & Departments

    Press release

    UK firms rake in ‘tens of millions’ in exports to India

    Companies in the UK’s tech and life sciences sectors have announced expansions in India which will amount to tens of millions of pounds for the UK economy.

    • Over 600 UK companies, including in cutting-edge tech and life sciences sectors, are already based in India  

    • UK businesses exported a total of £17 billion goods and services to India in the 12 months to September 2024 

    • A trade deal which brings down barriers could make selling to this huge market easier and cheaper for businesses, delivering on the government’s Plan for Change 

    Companies in the UK’s tech and life sciences sectors are making huge strides in global markets and going for growth by announcing expansions in India. 

    UK tech and science firms are thriving thanks to deals and partnerships valued at tens of millions of pounds, involving everything from supplying internet-based learning to pupils in disadvantaged communities to helping improve outcomes for patients undergoing complex surgery in hospitals. 

    Trade Secretary Jonathan Reynolds has been in New Delhi this week, as the UK Government relaunched talks on a trade deal with India to bring more opportunity to UK businesses and deliver on its core mission to grow the economy, as part of the Plan for Change. 

    Already an economic heavyweight, India is expected to become the fourth largest importer by 2035, presenting new opportunities for UK businesses. In the year to September 2024, UK businesses exported a total of £17 billion goods and services to India. 

    Business and Trade Secretary Jonathan Reynolds said:  

    “Tech and life sciences are two huge growth sectors for the UK economy that feature at the heart of our Industrial Strategy.  

    “I’m proud that government support has helped some of our finest businesses in these sectors to expand into the exciting Indian market. 

    “It’s great to see them going for growth, and their successes will amount to tens of millions of pounds for the UK economy, which will see living standards improve, and put money in people’s pockets.” 

    UK businesses expanding their exports into India include: 

    • Manufacturer of RF solutions to mobile networks, defence, and aerospace markets Radio Design, headquartered in Shipley, has expanded its global operations with a manufacturing facility in India.   

    • Global Tech operations for Marcus Evans Group, London-based specialists in high-impact and bespoke events, are now established in Mumbai.  

    • Appliansys, an innovative tech company based in Coventry whose internet-based education supports students in low or no internet areas, has worked with Tata Motors and developed a pilot which will be used across almost 5,000 Indian schools.   

    • Leicester-based chemicals company Microfresh has now rolled out its smart antimicrobial technology across multiple Indian textile and leather players. 

    • A digital health tech business headquartered in London, Novocuris has begun operating in multiple Indian hospitals. 

    • Keele-based Biocomposites is supplying hospitals in India with its medical devices for use in complex bone, joint, and musculoskeletal infections. 

    • York business Optibiotix Health has entered into a long-term partnership with Morepen Laboratories with its brand “Light life” containing its patented, award-winning and clinically tested SlimBiome, used as a pre-meal and on-the-go meal product.  

    • REM3DY Health, a Birmingham based advanced manufacturing business has partnered with a leading Indian pharmacy giant to bring its innovative gummy vitamin products to India with discussions ongoing to expand into even more personalised solutions in the future.  

    Notes to editors: 

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: RSH publishes regulatory judgements for 11 social landlords

    Source: United Kingdom – Executive Government & Departments

    Press release

    RSH publishes regulatory judgements for 11 social landlords

    The Regulator of Social Housing has today published regulatory judgements for 11 social landlords. 

    ForHousing has been upgraded from G3 to G2 following a period of intensive engagement. The landlord has delivered an agreed improvement plan, including significant restructuring that involved removing an unregistered parent and disposal of its interest in another unregistered company that was part of the same parent group.   

    It has strengthened its control framework and improved its oversight of strategic risks. The board has been able to evidence that it has full, independent control over decisions that impact its outcomes.  

    ForHousing needs to continue to make improvements in its governance and risk management as it reviews the effectiveness of the changes it has made.  

    Two landlords, West Lancashire Borough Council and City of Westminster Council, received C1 gradings. This means that overall they are delivering the outcomes of the consumer standards and they have demonstrated that they identify when issues occur and put plans in place to remedy and minimise recurrence.  

    The London Borough of Wandsworth, Central Bedfordshire Council, and Anchor Hanover Group failed to meet the outcomes of RSH’s consumer standards and received C3 gradings.  

    During a planned inspection of the London Borough of Wandsworth, RSH found:  

    • Around 40% of homes and almost 80% of communal areas had not had an electrical safety test.  
    • Almost 1,800 overdue fire safety remedial actions, all of which were more than 12 months overdue.  
    • Only 6.5% of its 17,000 total homes had been surveyed in the last ten years  
    • Weaknesses in how tenants’ views are taken into account in decision making.  

    During an inspection of Central Bedfordshire Council, RSH found:  

    • More than 1,800 overdue repairs orders.  
    • More than 300 outstanding fire safety actions arising from fire risk assessments had not been tracked by age or prioritised by urgency.  
    • No tracking, monitoring, or reporting of the number and age of damp and mould cases.  
    • A limited range of opportunities for tenants to scrutinise their landlord’s performance and influence how its housing services are delivered  

    Following responsive engagement with Anchor Hanover Group, RSH found:  

    • Over a third of its homes did not have a current satisfactory electrical safety inspection report  
    • A significant backlog of electrical remedial actions 
    • Incomplete and unreliable information available on the presence of damp and mould 
    • Weaknesses across landlord health and safety, including fire safety and water hygiene 

    RSH has also placed Anchor Hanover Group on its gradings under review list. RSH is currently investigating matters which may impact on whether the landlord continues to meet the governance elements of the Governance and Financial Viability Standard.  

    RSH is engaging intensively with all three social landlords as they work to address the issues identified in each of the cases.  

    Mansfield District Council and Waverley Borough Council received C2 gradings.   

    RSH also published regulatory judgements for three further landlords following stability checks.  

    Peabody Trust and One Manchester retained their current G1/V2 gradings, while Bolton at Home retained its G2/V2 gradings.  

    Kate Dodsworth, Chief of Regulatory Engagement at RSH, said:  

    “As we approach the end of the first year of our programmed inspections, we are continuing to see a broad spectrum of gradings – though it is still too early to draw concrete trends. 

    “While our engagement is the most intensive with landlords that fail to meet the outcomes of our standards, even landlords that receive a C1 grading have room for improvement.   

    “Along with our consumer regulation, our scrutiny of governance and financial viability remains as important as ever. Landlords must have rigorous oversight of strategic risk and continue to stress test their financial plans. Without strong governance, landlords will not be able to deliver more and better social homes for tenants.   

    “We can confirm that we have placed Anchor Hanover Group on the gradings under review list. The outcome of the investigation will be confirmed in a regulatory judgement, once completed.”

    All the judgements published today can be found on the Regulatory Judgements and Enforcement Notices page.

    Notes to Editors  

    1. On 1 April 2024 RSH introduced new consumer standards for social housing landlords, designed to drive long-term improvements in the sector. It also began a programme of inspections for all large social landlords (those with over 1,000 homes) over a four-year cycle. The changes are a result of the Social Housing Regulation Act 2023 and include stronger powers to hold landlords to account. More information about RSH’s approach is available in its document Reshaping Consumer Regulation.  

    2. RSH carries out stability checks on all housing associations, and other private registered providers, who own 1,000 homes or more. The stability checks are a yearly exercise. We look at the financial information landlords have submitted to us (including their most recent business plan and annual accounts) and consider if there are any risks which might result in a change to their financial viability or governance gradings.  The checks do not include local authorities because our governance and financial viability standard does not apply to them.  

    3. More information about RSH’s responsive engagement, programmed inspections and consumer gradings is also available on its website.  

    4. RSH promotes a viable, efficient and well-governed social housing sector able to deliver more and better social homes. It does this by setting standards and carrying out robust regulation focusing on driving improvement in social landlords, including local authorities, and ensuring that housing associations are well-governed, financially viable and offer value for money. It takes appropriate action if the outcomes of the standards are not being delivered.

    5. For general enquiries email enquiries@rsh.gov.uk. For media enquiries please see our Media Enquiries page.

    Updates to this page

    Published 26 February 2025

    MIL OSI United Kingdom

  • MIL-OSI Economics: Business Leaders Sound Alarm on Global Economic Uncertainty, Call for Unified APEC Action Brisbane, Australia | 26 February 2025 APEC Business Advisory Council

    Source: APEC – Asia Pacific Economic Cooperation

    Amidst rising global economic tensions, the APEC Business Advisory Council (ABAC) met in Brisbane this week to reaffirm its support for the value of trade and cooperation, and the original APEC commitment to free, fair, open and rules-based trade.

    Members expressed alarm at the escalating challenges posed by rising protectionism, regulatory complexity and other challenges including climate change, aging populations, declining growth rates for member economies and the business environment. Global uncertainty impacts trade flows, business planning and investment decision-making. Now more than ever, business and government must come together for the benefit of all.

    Economies must remain alert to emerging and disruptive technologies, including advancements in artificial intelligence and quantum computing, which offer both enormous promise and challenge to our economic development.

    “We must also redouble our efforts to put in place tangible enabling solutions like paperless trade, trade facilitation, resilient supply chains and other tangible items that ABAC 2025 aims for,” said ABAC Chair 2025 H.S. Cho.

    ABAC underscored the need for robust trade architecture, emphasising that a strengthened WTO and the APEC vision for a Free Trade Area of the Asia-Pacific (FTAAP) are vital counterweights to economic fragmentation. ABAC believes that this is the way to ensure fair, mutually beneficial trade as economies navigate the challenges of digital transformation and the climate crisis. 

    ABAC has adopted an ambitious theme for the year: “Bridge. Business. Beyond.” The 2025 work program emphasizes the role of business in connecting policymakers and stakeholders across the region, driving innovative growth, and shared prosperity.

    The ABAC work program is both visionary and practical.  For example, ABAC is looking at how to use digital tools like AI to promote small-business formalisation, create smart health systems, and tackle the carbon transition, including energy.  Economies must also urgently address gaps in infrastructure investment for energy security, energy transition, and digital transformation.

    ABAC wants to use the FTAAP process to drive quick progress on safer and more resilient supply chains, advance digital trade interoperability, and unlock green trade. ABAC remains committed to breaking down the barriers to women’s economic success, including by being able to tap into the venture capital they need and by closing the gender pay gap.

    ABAC will also develop recommendations to narrow the digital divide by using digital tools including AI, to support MSMEs to transition to the formal economy and access global markets.

    On meeting the challenges posed by aging populations, rising healthcare costs, and inequities in accessing medical services, ABAC will be developing recommendations for innovative, inclusive and smart health care systems. This will incorporate sustainable financing mechanisms, advanced health care models and the integration of digital health tools to enhance accessibility, efficiency and resilience of healthcare systems.

    To meet decarbonization goals amid rising electricity demand, ABAC will also develop recommendations to achieve a realistic and ambitious energy transition by utilizing advanced technologies to increase low carbon investments and expanding transition finance, supported by international cooperation and the development of low-carbon roadmaps.

    In a series of dynamic discussions with APEC Senior Officials, ABAC members sought to align priorities to produce actionable recommendations for leaders. “These discussions are the first of many interactions that we will have with policymakers and ministers this year.  We are keen to ensure that the business perspective is woven into key policy decisions,” the Chair added.

    The Chair expressed ABAC’s deep gratitude to the Australian government, particularly to the Department of Foreign Affairs and Trade, for their support in hosting this meeting.

    ABAC will reconvene in late April in Toronto, Canada, as it continues to develop its recommendations to achieve APEC’s goals, for presentation to APEC Leaders during their meeting in October in Korea.

     

    For further information please contact:

    Hyungkon Park (Mr), ABAC Executive Director 2025  at +82 2 6050 3686 and [email protected]

    Antonio Basilio (Mr), Director of the ABAC Secretariat at +63 917 849 3351 and [email protected]

     

    MIL OSI Economics

  • MIL-OSI United Kingdom: Anyone can save a life

    Source: Mayor of London

    The chances of surviving a cardiac arrest drop by about 10% with every minute that passes. While defibrillation within 3-5 minutes of collapse can produce survival rates up to 50-70%.

    So, it is crucial for patients to receive bystander intervention before an ambulance arrives.

    Growing public knowledge of CPR and defibrillation, increases the chance of people being able to save a life.

    Analysis by the London Ambulance Service (LAS) has revealed that 150 neighbourhoods are ‘defibrillator deserts’ – where there is little or no access to a lifesaving device.

    The London Heart Starters Campaign aims to raise funds for an additional 200 public-access defibrillators in unlocked cabinets where they are needed most. In addition, the London Lifesaver Campaign aims to make the capital a city of lifesavers by equipping Londoners with CPR skills and helping them become familiar with using a defibrillator.

    The Transport for London (TfL) estate has 500 Public Accessible Defibrillators (PAD). Last year those PADs were called upon to be used over 60 times.

    Tomorrow, Members of the London Assembly Health Committee will visit Liverpool Street Station, where they will observe a pop-up London Lifesaver training. Also, a commuter whose life was saved will be reunited with the LAS crews who worked on him.

    MEDIA ARE INVITED TO ATTEND THIS FILMING/PHOTO OPPORTUNITY BY PRIOR ARRANGEMENT

    Location: Liverpool Street Station, Main Ticket Hall

    Date:  Thursday 27 February 2025

    Time: 10.30am-12pm  

    Interviewees will include:

    • Krupesh Hirani AM – Chair of the London Assembly Health Committee
    • Samantha Palfreyman Jones – Head of Community Resuscitation and Paramedic, LAS
    • Danny Bliss – Senior SHE Business Partner, TfL
    • Paul Benson – had a cardiac arrest at Liverpool Street Station. He was helped by bystanders and TfL staff using the station’s defibrillator. This joint effort kept him alive until LAS crews arrived, and he was later taken to a Heart Attack Centre.

    MIL OSI United Kingdom