Canada Further Away From NATO Spending Target Than Projected: Budget Watchdog

While Canadian defence spending is under closer scrutiny as NATO members meet in Washington, D.C., this week, the federal budget watchdog says Canada is expected to fall shorter of meeting its commitment to the alliance than expected. The Parliamentary Budget Officer (PBO) released an updated analysis of military expenditures and the NATO guideline of 2 percent of GDP spending on July 8. The PBO says defence spending will reach a peak of 1.49 percent of GDP in fiscal year 2025-2026 before falling and stabilizing at 1.42 percent in 2029-2030. By comparison, the Department of National Defence (DND) said in April new investments announced in Budget 2024 would raise defence spending to 1.76 percent of GDP by 2029-2030....