Annex A: Funding
Through Our North, Strong and Free, Canada will invest $8.1 billion over the next five years and $73 billion over the next twenty years in our national defence. The government is projecting our defence spending to GDP ratio to reach 1.76% in 2029-30, and the initiatives under this defence policy put Canada on track to exceed NATO's target of 20% for major equipment expenditures as a proportion of defence funding. Consistent with our NATO commitment, this defence policy also lays the foundations for future growth in the Canadian Armed Forces, including through a more regular cycle of review and investment. Our investments will enable the Canadian Armed Forces to adapt in a sustainable, responsible manner, guided by our evolving national security needs in a rapidly changing world.
2024-2025 |
2025-2026 |
2026-2027 |
2027-2028 |
2028-2029 |
5-year total |
20-year total |
|
|---|---|---|---|---|---|---|---|
Maintaining and Renewing National Defence Infrastructure |
0 |
103 |
206 |
308 |
324 |
942 |
10,218 |
Sustaining Naval Vessels |
293 |
376 |
436 |
446 |
376 |
1926 |
9941 |
Ammunition Supply and Production |
15 |
137 |
308 |
566 |
735 |
1762 |
9461 |
Sustaining Military Equipment |
202 |
256 |
312 |
325 |
346 |
1441 |
8962 |
Civilian Capacity |
0 |
19 |
37 |
46 |
48 |
150 |
1827 |
Electronic Health Record Platform for Military Personnel |
7 |
59 |
60 |
77 |
80 |
281 |
497 |
Housing for Canadian Armed Forces Personnel |
0 |
0 |
1 |
2 |
4 |
7 |
295 |
NATO Innovation Fund |
10 |
11 |
11 |
11 |
11 |
53 |
107 |
Improving Childcare for Canadian Armed Forces Personnel |
13 |
18 |
22 |
23 |
25 |
100 |
100 |
Sub-total |
539 |
980 |
1391 |
1803 |
1948 |
6661 |
41,409 |
2024-2025 |
2025-2026 |
2026-2027 |
2027-2028 |
2028-2029 |
5-year total |
20-year total |
|
|---|---|---|---|---|---|---|---|
Tactical Helicopters |
0 |
1 |
5 |
6 |
5 |
17 |
18,383 |
Worldwide Satellite Communications |
0 |
8 |
15 |
15 |
12 |
51 |
5519 |
Enhancing Canada's Intelligence and Cyber Operations |
73 |
115 |
186 |
244 |
299 |
917 |
2832 |
Long-range Missile Capability (Army) |
0 |
1 |
67 |
133 |
199 |
401 |
2668 |
Maritime Sensors |
0 |
4 |
5 |
4 |
3 |
17 |
1395 |
Airborne Early Warning Aircraft |
0 |
5 |
6 |
6 |
5 |
23 |
307 |
Satellite Ground Station |
0 |
0 |
7 |
8 |
8 |
23 |
222 |
Northern Operational Support Hubs |
0 |
2 |
5 |
6 |
6 |
18 |
218 |
Sub-total |
73 |
139 |
295 |
423 |
538 |
1467 |
31,545 |
Gross Funding |
612 |
1118 |
1686 |
2226 |
2486 |
8128 |
72,954 |
Less: Funding Reallocated from Strong, Secure, Engaged 2017 |
0 |
0 |
(50) |
(52) |
(55) |
(157) |
(694) |
Net Incremental Funding |
612 |
1118 |
1636 |
2174 |
2431 |
7971 |
72,259 |
Note: Numbers may not add due to rounding. Note: On an accrual basis, the cost of acquiring an asset is spread over its useful life, rather than being recorded at the time the bills are paid. Operating funding for the asset is recorded in the year that the expenditure is made. |
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