Canada Hits NATO Defence Spending Target for First Time
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Canada has met its NATO commitment to spend 2% of GDP on defence for the first time, with a significant increase in defence spending
Canada has made history by meeting its NATO commitment to spend 2% of its GDP on defence for the first time. According to NATO’s annual report, Canada spent $63.4 billion on national defence in 2025, marking a significant increase in defence spending.
This achievement is a result of the Canadian government’s efforts to strengthen its military and contribute to global security. The government has invested heavily in defence, with a focus on improving serviceability and operational readiness.
The increased defence spending is expected to have a positive impact on Canada’s role as a reliable and credible ally. Canada has committed to spending 5% of its GDP on defence by 2035, with 3.5% on core defence needs and 1.5% on defence-adjacent items such as funding for maritime ports, airports, and other infrastructure.
The news has been welcomed by NATO Secretary General Mark Rutte, who praised Canada’s efforts to meet the 2% spending target. Rutte noted that Canada’s increased defence spending is a significant shift in mindset and a collective recognition of the changed security environment.
Prime Minister Mark Carney has also praised the achievement, calling it the ‘single largest year-on-year increase in defence investment in generations.’ Carney has committed to continuing to invest in defence, with a focus on improving the military’s capabilities and contributing to global security.
The increased defence spending is expected to have a positive impact on Canada’s economy, with the potential to create jobs and stimulate innovation. The government has also committed to supporting the defence industrial base and investing in eligible defence expenditures across government.
Canada’s achievement is a significant milestone in its efforts to strengthen its military and contribute to global security. As the country continues to invest in defence, it is expected to play an increasingly important role as a reliable and credible ally in the years to come.
Visual representation of Canadian military
Reported by Brayan Juma Okumu, Founder of GCHAM Empire.