Americas

Canada’s 2030 Defense Spending Plan Falls Short of NATO Target

  • Allies have pressured Canada to boost military spending
  • Strategy focuses on Arctic threats, singles out Russia, China
An inlet in Nunavut, Canada. Canada’s new defense strategy focuses on threats to the Arctic, which climate change has made more accessible. Photographer: Galit Rodan/Bloomberg
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Canada unveiled a new defense strategy that focuses on strengthening its military capabilities in the Arctic region, but its spending by the end of the decade will still be short of the 2% target set by the North Atlantic Treaty Organization.

The strategy adds an extra C$8.1 billion ($6 billion) over the next five years, allowing Prime Minister Justin Trudeau’s government to spend 1.76% of gross domestic product on defense by 2030. The government describes the plan as a “major step” toward reaching the 2% threshold and also projects Canada will exceed NATO’s target of 20% for equipment spending as a proportion of defense funding.