🇨🇦 Canada to Hit NATO Defence Target in 2025 with $9B Armed Forces Boost
Carney government announces sweeping investment to rebuild military strength and sovereignty
TORONTO — Prime Minister Mark Carney has announced a landmark defence spending package that will see Canada meet NATO’s 2% military spending target in 2025—five years ahead of schedule. The new plan will inject more than $9 billion into the Canadian Armed Forces in the upcoming fiscal year, with sustained increases in future years.
The announcement marks a pivotal shift in Canada’s defence posture amid what the Prime Minister called “an increasingly dangerous and divided world.”
“Canada must assert its sovereignty,” said Carney. “We will rapidly procure new equipment and technology, build our defence industrial capacity, and meet our NATO defence commitment this year.”
The world is changing fast—and we need the @CanadianForces to be ready to take on modern challenges. That’s why we’re investing in rebuilding, rearming, and reinvesting in the Canadian Armed Forces. pic.twitter.com/BEfOExa98d
— David McGuinty (@DavidMcGuinty) June 10, 2025
🔧 What the Investment Covers
The government’s strategy focuses on modernizing the force while also strengthening domestic industry. The investments include:
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Better pay, recruitment, and retention efforts for CAF personnel
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New aircraft, drones, vehicles, and advanced seafloor and Arctic sensors
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Fleet and infrastructure upgrades, including repairs to existing ships and aircraft
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Improved health care services for Armed Forces members, with added support for women veterans
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Coast Guard expansion to integrate with NATO maritime operations
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Support for defence industry innovation, including artificial intelligence, cyber defence, space technologies, and quantum infrastructure
The plan also includes specific capability enhancements such as:
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Arctic Over-the-Horizon Radar
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Joint Counter-Drone Program
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Joint Support Ships
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Long-range precision strike systems
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Expanded ammunition production
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Armoured and logistics utility vehicles
⚙️ Defence Meets Economic Growth
In a joint statement, Minister of National Defence David J. McGuinty said the investment will fuel both national security and the Canadian economy:
“We are equipping our Armed Forces with the capabilities and support they need to protect Canadians… [and] growing a world-class defence industry that fuels innovation and job creation.”
The plan is expected to boost Canadian manufacturing and technology sectors, with direct benefits to workers and suppliers involved in aerospace, cybersecurity, advanced vehicle production, and AI.
🎖️ Veterans Also in Focus
In addition to operational readiness, the government is committing to modernizing support for veterans. This includes streamlining military credential transfer into civilian trades, improving health services for women veterans, and overhauling veterans’ benefits delivery.
🛡️ Canada’s Defence Doctrine: Sovereignty First
The new spending blueprint signals a clear reassertion of Canada’s role within NATO and the broader global security order, while prioritizing domestic readiness and self-reliance.
With geopolitical tensions rising and threats evolving, the Carney government is staking its position: Canada must never again depend on others for its defence.
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