Canadian Prime Minister Justin Trudeau and Defence Minister Bill Blair have released an updated defense policy that puts Ottawa on track to meet NATO’s goal of 2 percent military spending-to-GDP ratio, Canada’s Department of National Defence announced on Monday.
The new policy, titled “Our North, Strong and Free,” aims for a defense spending of 1.76 percent of GDP by 2029-2030, which a Reuters report noted is up from the current 1.4 percent.
The policy, updating its predecessor “Strong, Secure, Engaged” report issued in 2017, envisions $6 billion military spending in the next five years and $54 billion in the next 20 years, according to the DND announcement.
The spending will focus on six major initiatives that also align Canada to surpass NATO’s 20 percent target for major equipment purchases in relation to the defense budget.
One of the initiatives focuses on maintaining and upgrading the national defense infrastructure wherein $7.5 billion will be spent over 20 years. Another focus area is the development of an innovative defense industrial base wherein $6.6 billion spending is set over 20 years for the Canadian Armed Forces’ procurement program.