As part of a larger announcement to increase spending on the country’s defense and security, Prime Minister Mark Carney states that Canada will meet NATO’s target of spending 2% of GDP on defense this fiscal year. Monday, Carney made the announcement, stating that they would accelerate investments in the years to come and achieve the goal “half a decade ahead of schedule.” “When it’s something as fundamental as defence, defence of Canadians, defence of Canadian interests, you need to act and that’s why we’re pulling things forward,” he said.
The plan amounts to a cash increase of $9.3 billion in defence in the 2025-26 fiscal year.
Carney stated that the funding is being presented to Parliament as part of the supplementary estimates, which the government submits on a regular basis to effectively provide funding for programs and departments during budgetary gaps. This is not about getting to two per cent, full stop,” Carney stressed. “It’s about defending Canada. As I stated in my remarks this morning, we are getting to this level with this $9.3 billion, but we expect a further acceleration. Our ability to defend Canada is not at a point in time; it will require sustained investment. The federal government, according to Carney, will “rebuild, reinvest and rearm” the Canadian Armed Forces through four pillars.
Those four pillars include investments into members of the Armed Forces and the equipment they use, enhancements to military capabilities, strengthening the defence industry and diversifying its partnerships.
He stated, “Our plan will help ensure that Canada is strong domestically and dependable abroad.” “We will ensure that every dollar is invested wisely, including by giving manufacturing and supply chains made in Canada top priority.” During a press conference Monday afternoon, the prime minister said this plan will provide “greater predictability” and commitment to the scale of investment, types of capacity being built, and a “structural change” through creation of a defence procurement agency.
That agency, under Secretary of State for Defence Procurement Stephen Fuhr, would centralize decision making and “move at a pace to get our Armed Forces the equipment they need,” Carney said.The Department of National Defence will also design a new defence policy that, Carney said, will reflect “both today’s and tomorrow’s threats.” He stated that the plan includes expanding the Canadian Coast Guard’s reach and security mandate and ensuring that Canada’s North is protected with a larger sustained year-round presence on land, sea, and air. He stated that the “new strategic approach” would include the establishment of Borealis, the Bureau of Research, Engineering, and Advanced Leadership in Innovation and Science.
Canada to meet NATO’s 2% defence spending target this year: Carney
