Canadian Prime Minister Mark Carney is set to reveal a new security and defense investment plan on Monday. According to reliable sources, as reported by the Globe and Mail, this plan would allow Canada to meet and potentially exceed NATO’s 2% military spending target for the current fiscal year.
The plan involves a significant increase in spending, amounting to billions of dollars. It is predicted that this will enable Canada not only to reach NATO’s 2% target by the end of the fiscal year in March but to surpass it in the years to come. The importance of this should not be overlooked, as currently, out of NATO’s 32 members, only 22 manage to meet the defense spending goal of at least 2% of GDP. In 2024, Canada was near the bottom of this list, according to the alliance’s published estimates.
This new investment plan will include, among other things, an increase in pay for members of the Canadian Armed Forces, procurement of new aircraft and armed vehicles, and the acquisition of new drones and additional sensors to monitor the sea floor and the Arctic. The Prime Minister’s Office has not yet responded to requests for comment outside regular business hours.
This development follows earlier reports that NATO leaders will convene for a June 24-25 summit. Last month, we reported that NATO chief Mark Rutte had proposed an increase in defense spending to 3.5% of GDP and an additional 1.5% commitment to broader security-related spending, in response to U.S. President Donald Trump’s call for a 5% target. With this new plan, Canada is taking steps towards meeting these ambitious goals.