The EDF is the EU's principal instrument for co-funding collaborative defence research and capability development across Member States, with a total budget of approximately EUR 7.3 billion for 2021–2027 (EUR 2.7 billion for research, EUR 5.3 billion for capability development).
- It is implemented by the European Commission through annual competitive calls for proposals structured around thematic and horizontal categories covering all military domains and key enabling technologies.
- Consortia of at least three entities from EU Member States or associated countries (currently Norway) are required, with dedicated tracks for SMEs, mid-caps, and disruptive technology innovators via the EU Defence Innovation Scheme (EUDIS).
- Financial support is delivered primarily as grants covering up to 100% of eligible costs, with bonuses for SME/mid-cap participation and linkage to PESCO projects.