TALLINN, Estonia (CHATNEWSTV) — Estonia will increase its defense budget to at least 5% of GDP starting next year, a sharp rise aimed at deterring potential aggression from Russia, Prime Minister Kristen Michal announced Tuesday.
“Russia’s strategic objectives remain unchanged. Its aggression threatens Europe and NATO,” Michal said after a security cabinet meeting. “To ensure Estonia is securely protected, we must adapt to this dangerous security environment and sharply increase our defense budget.”
The move follows military advice from the country’s defense leadership and marks an unprecedented increase from the current level of around 3% of GDP.
Minister of Defence Hanno Pevkur called it a “historic day” for Estonia. “A leap from three to five per cent in one year is a crucial step to ensure our security,” he said.
The government will finalize the financing plan in April, but Pevkur emphasized that the additional funding would support key military capabilities, including air defense, long-range strike capabilities, and new technologies such as drone and electronic warfare—lessons drawn from Ukraine’s battlefield.
“We must get used to defense spending staying at 5% for a long time and rising beyond that in the coming years,” Pevkur said.
The funding boost aligns with the European Council’s push for rearmament, which aims to mobilize up to €800 billion to strengthen the continent’s military readiness.
