Canada needs a ‘good mix’ of new tech like drones, AI: NATO commander

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Source: Global News Politics
Date: 2026-10-30 18:50:51.0
Tags: [National, Defence, Technology, Finance]

As Canada prepares to detail its defence spending plans in the upcoming federal budget to meet NATO's 2% GDP target this year and a 5% GDP target by 2035, senior NATO officials emphasize integrating a mix of advanced technologies like AI targeting and drones. Admiral Pierre Vandier, NATO's Supreme Allied Commander Transformation, noted during exercises in Latvia involving Canadian Armed Forces personnel from Operation Reassurance that unmanned systems enhance the lethality and survivability of traditional military assets. The Department of National Defence recently launched the Defence Drone Initiative (DDI) to supply new drone tech to the Canadian Armed Forces and Canadian Coast Guard while bolstering domestic manufacturing. Meanwhile, Parliamentary Budget Office analysis indicates core defence spending would need to scale significantly from $95.7 billion in 2030 to $163.7 billion in 2035–36 to meet long-term alliance commitments.

U.K. opts against joining Canada-led defence bank, pledges co-operation

Source: CBC Politics
Date: 2026-10-26 14:03:56.0
Tags: [National, Defence, Finance, Trade]

The British government has declined Ottawa's invitation to join the Canada-led international Defence, Security and Resilience Bank (DSRB), choosing instead to pursue its own Multilateral Defence Mechanism. Despite differing institutional paths, both countries agreed to establish a cooperation framework to coordinate investment opportunities and work together to meet NATO spending targets. The DSRB, which is headquartered in Canada and aims to lower military borrowing costs through pooled credit, currently retains the support of nations including Belgium, Turkey, and Ukraine.

Billions more for defence, but Canada's military still faces an old budget squeeze

Source: CBC Politics
Date: 2026-10-13 08:00:00.0
Tags: [National, Defence, Finance]

Despite billions in newly announced defence funding intended to raise military spending from $75 billion to $95.6 billion annually by 2030, the Department of National Defence faces ongoing operational and maintenance reductions mandated under the federal budget. The federal Treasury Board Secretariat is examining DND operational spending to achieve potential reductions of up to 10 per cent, following previous directives that introduced cuts of $810 million in their initial year and $908 million annually thereafter. These legacy cuts and the need to prioritize capital expenditures and military salaries have raised internal concerns among defense experts and officials regarding operational readiness, which currently hovers at 61.3 per cent.

Direct spending on Canadian military could reach more than $163B by 2035: budget watchdog

Source: CBC Politics
Date: 2026-10-06 15:54:33.0
Tags: [National, Defence, Finance, Infrastructure]

Direct spending on the Canadian military could reach $163.6 billion by 2035 under the federal government's proposal to meet NATO's benchmark target of five per cent of GDP, according to a report by the Parliamentary Budget Office. The spending plan, which includes reaching a four per cent target by 2030 (2.5 per cent direct military spending and 1.5 per cent defence infrastructure), is projected to increase the budgetary deficit by $63.7 billion or 1.4 per cent of GDP due to federal accrual accounting methods. Parliamentary Budget Officer Annette Ryan highlighted risks regarding rapid procurement increases and whether Canada's industrial capacity can meet the demand.

Canada needs ‘substantial’ defence spending to reach NATO 5% targets: PBO

Source: Global News Politics
Date: 2026-10-06 14:57:34.0
Tags: [National, Defence, Finance, Economy]

A Parliamentary Budget Office (PBO) report indicates that the Liberal government's plans to increase defence spending to 5 percent of GDP by 2035 will require core defense spending to climb from $95.7 billion in 2030 to $163.7 billion in 2035-36. The PBO estimates this massive funding increase will add $63.7 billion, or 1.4 percent of GDP, to the federal budgetary deficit by 2035-36 and leave federal debt 5.7 percentage points of GDP higher. Finance Minister Francois-Philippe Champagne stated that further details and measures to finance these investments will be introduced in the government's 2026 budget.

Canada needs more ‘urgency’ in rebuilding its military: ex-defence chief

Source: Global News Politics
Date: 2026-09-28 14:33:29.0
Tags: [National, Defence, Finance, Economy]

Retired General Wayne Eyre, former Chief of the Defence Staff, stated in an interview with Global News that Prime Minister Mark Carney's government must act with greater urgency to rebuild the Canadian Armed Forces and meet its NATO commitments. The federal government previously pledged in 2025 to meet NATO's target of spending two percent of GDP on defence that year and committed to grow defence spending to four percent of GDP by the end of the decade. A Global News analysis of the government's 2026 Spring Economic Statement indicates Canada will need to spend a total of $163 billion on an annual basis to hit the four percent commitment by 2030, representing an increase of $34.9 billion annually compared to the 2025 budget. Eyre warned that the government must actively communicate real threats to the public to maintain the necessary social licence to fund these military investments.

Canada and the U.K. consider merging financial initiatives to rearm against Russia

Source: CBC Politics
Date: 2026-09-21 18:10:23.0
Tags: [National, Defence, Finance, Trade, Governance]

Canadian and British officials are considering merging Canada's proposed Defence, Security and Resilience Bank (DSRB) and the United Kingdom's Multilateral Defence Mechanism ahead of their scheduled 2027 launches to help allies rearm against Russia and other international threats. Prime Minister Mark Carney and British Prime Minister Andy Burnham discussed the potential consolidation during a bilateral meeting in Liverpool, as Canada seeks a major financial player to ensure adequate lending capacity for defence companies to scale up production. To date, Canada has signed up Albania, Belgium, Greece, Latvia, Luxembourg, Romania, Turkey, and Ukraine to the DSRB, while the United Kingdom has secured the Netherlands, Finland, and Poland for its competing financing framework.

Canada won't pay directly into EU budget under Carney's plan: ambassador-designate

Source: CBC Politics
Date: 2026-09-19 08:00:00.0
Tags: [National, Trade, Defence, Technology, Finance, Governance]

Incoming EU Ambassador-Designate Jonathan Wilkinson announced that Canada will not pay directly into the European Union budget under Prime Minister Mark Carney's proposed "unique alliance." However, Canada may contribute funding to specific strategic programs, such as the EU's Security Action for Europe (SAFE) defence loan program, Horizon research initiatives, and Erasmus+ student exchanges. Carney formally outlined his vision for the partnership before the European Parliament, aiming for seamless digital trade, critical mineral investments, and AI safety protocols, while facing skepticism from some European politicians and tariff threats from U.S. President Donald Trump.

America 'not at war' with Canada, insists U.S. Treasury Secretary Scott Bessent

Source: CBC Politics
Date: 2026-08-31 18:00:16.0
Tags: [National, Trade, Economy, Finance, Defence]

United States Treasury Secretary Scott Bessent dismissed claims of a trade war with Canada during an interview with CNBC, criticizing Prime Minister Mark Carney for walking away from a trade deal and imposing 50 percent retaliatory tariffs on roughly $28 billion worth of Canadian exports. The U.S. previously imposed these tariffs after trade negotiations collapsed due to disputes over auto industry terms, restrictions on foreign trade deals, and protections for French-language media and bilingual product labelling. Finance Minister François-Philippe Champagne is scheduled to meet with Bessent and G20 counterparts in Asheville, North Carolina, while provincial leaders including Alberta Premier Danielle Smith have voiced concerns that the ongoing tariff escalations will harm small businesses and regional economies.