The Liberal government’s 2025 budget is proposing to provide more than $81 billion over five years to build up the Canadian Armed Forces (CAF), as Canada works towards meeting NATO’s defence spending target of 5 percent of GDP by 2035.
Finance Minister François-Philippe Champagne tabled the Carney government’s first budget on Nov. 4, projecting a $78.3 billion deficit this fiscal year and a debt-to-GDP ratio that is expected to climb before stabilizing in the years ahead.
Champagne said the budget’s “generational investments” have four key priorities, including housing, infrastructure, defence and security, and productivity and competitiveness.
The budget sets out $30 billion in capital spending on defence and security, which Champagne called “the largest defence investment in decades.”…