Brussels – Belgian state-owned bank Belfius has officially revised its investment policy, lifting restrictions on investments in defence companies and even those involved in nuclear weapons manufacturing.
The move, first reported by Belgian newspapers Het Nieuwsblad and L’Echo on Tuesday, marks a significant departure from its previous stance, which had long prohibited such engagements.2
The decision comes in response to shifting geopolitical dynamics and an increasing interest in defence sector investments. “We have noticed an increased interest in investments in defence companies,” said Belfius spokesperson Ulrike Pommee.
Easing Restrictions on Defence Investments
In January, Belfius had already relaxed its credit policies for the defence sector, allowing financial engagements under a strict “risk assessment” framework. Now, the bank has taken a further step by amending its investment guidelines.
Previously, the bank excluded investments in firms that derived more than 10% of their revenue from conventional weapons manufacturing. However, under the new policy, this restriction has been lifted for companies headquartered in NATO member states.
“This commitment remains unchanged for companies headquartered in non-NATO countries but has been relaxed for companies from NATO member states in light of the changed geopolitical circumstances,” the bank stated.
Nuclear Weapons No Longer a Red Line
Perhaps the most notable shift in Belfius’ policy is its stance on nuclear weapons. Under previous guidelines, the bank prohibited investments in firms involved in the development, production, or maintenance of nuclear weapons. Now, this restriction has been removed for companies operating within NATO countries.
“In addition, investments in companies involved in the development, production, or maintenance of nuclear weapons are no longer excluded if they are based in a NATO member state,” Belfius confirmed in a statement.
While this change opens new investment avenues, the bank has reaffirmed its commitment to ethical investing by maintaining restrictions on controversial weaponry such as landmines, cluster bombs, and chemical and biological weapons.
Strategic Rationale Behind the Shift
The relaxation of these investment policies aligns with NATO’s strategic priorities. Belfius justified its shift in nuclear investment policy by noting NATO’s stance on deterrence.
“Although nuclear weapons share certain characteristics with controversial weapons, NATO considers them crucial for deterrence,” the bank stated.
The bank’s decision reflects the broader European reassessment of defence and military investments amid growing security concerns.
Russia’s invasion of Ukraine and rising geopolitical tensions have prompted NATO members to boost their defence spending, leading to increased investor interest in the sector.
Public and Political Reactions
The shift in policy is likely to spark debate in Belgium, where investments in arms manufacturing and nuclear weapons have historically been contentious.
Advocacy groups and politicians who support disarmament policies may challenge Belfius’ new direction, while proponents argue that the move aligns with Belgium’s NATO commitments.
As one of Belgium’s largest financial institutions, Belfius’ revised stance signals a broader trend in European finance, where ethical investment criteria are being reassessed in light of evolving security priorities.
This article was created using automation technology and was thoroughly edited and fact-checked by one of our editorial staff members
