In a strictly economics/geopolitical view: It's a loan program, so long term it is net positive on interest alone. If the money is used to procure eu-made equipment, as is implied, it will bring manufacturing to EU and finance European R&D as well (where not sรคl of it will be used in only military applications) Short term it might affect the speed of rearmament which would be bad in an armed conflict. On the other hand, a bigger market will allow bigger investments, which might add production capacity sooner, so it might not add as much time as feared.
In short, it seems to achieve what the tariffs what touted to accomplish without all the drama and negatives associated with tariffs.
Morally it depends on your opinion of a states right to defend itself.