Czech Republic Raises Defense Spending to Meet NATO's 2% GDP Target | WPN World People News

Czech Prime Minister Andrej Babiš announced that the government plans to increase the country's defense budget by CZK 36 billion (approximately NT$55 billion) in 2027, enabling the Czech Republic to meet NATO's target of spending 2% of GDP on defense.

Babiš unveiled the proposed budget increase last week before departing for the NATO Summit in Ankara, Türkiye. If approved, the increase would mark the first time the Czech Republic reaches NATO's defense spending benchmark.

According to Czech media reports, the country's 2026 defense budget stands at CZK 154.8 billion, equivalent to about 1.78% of GDP. The government has also reallocated CZK 30 billion from other ministries to support defense spending. Despite these efforts, Babiš acknowledged that the Czech Republic is still unlikely to achieve the 2% target in 2026.

Defense Minister Jaromír Zůna previously stated that defense expenditure currently accounts for only 1.78% of GDP, but the government intends to raise the budget to CZK 190 billion in 2027 to ensure compliance with NATO's requirement. Babiš stressed that the government is accelerating military recruitment and modernization efforts, with future priorities including strengthening air defense capabilities, developing counter-drone systems, and fulfilling the Czech Republic's commitment to provide a brigade-level force to NATO.

Meanwhile, NATO is discussing a €70 billion financial assistance package for Ukraine covering this year and next. Babiš said the Czech Republic would not block the proposal but would not contribute financially to the package. He argued that Prague must prioritize its own resources to safeguard national borders and fulfill its alliance commitments, adding that NATO's larger member states should bear the primary financial responsibility.

The planned increase comes after growing criticism over the Czech Republic's defense spending, including from U.S. Ambassador to the Czech Republic Nicholas Merrick. Merrick had previously warned that the Czech Republic risked becoming one of NATO's lowest defense spenders, potentially undermining its ability to meet the alliance's capability commitments.