Poland to boost defense spending to 4.7% of GDP amid budget discussions
Leaders of Poland’s ruling coalition have reached an agreement to draft a budget for next year that will increase defense spending to at least 4.7% of GDP, according to reports by private broadcaster RMF FM.
K2 tank.Flying Camera/ Shutterstock
A special Council of Ministers meeting is set for Wednesday to discuss next year’s state budget, with a significant focus on increased funding for armaments.
The proposed boost to 4.7% of GDP represents a substantial rise from this year’s allocation of 4.1% and marks a significant shift from previous years when Poland, like many other countries in the region, struggled to allocate even 2% of GDP to defense, RMF FM has reported.
If the proposed budget is approved, Poland would become the leading NATO member state in terms of defense spending, outpacing the current top spenders, which include Estonia, the USA, Latvia, and Greece. Currently, only five NATO countries allocate more than 3% of GDP to defense, while two-thirds of member states meet the 2% requirement.
According to RMF FM, the proposed defense budget would amount to approximately PLN 190 billion (EUR 44.23 billion). However, this significant increase in military expenditure could strain the national treasury, potentially creating a budget deficit estimated at PLN 200 billion.
The government is also considering parallel allocations to healthcare, which could approach the same financial commitment as defense. To address the looming budget shortfall, the government is reportedly exploring cost-saving measures, including the potential elimination of credit holidays and energy bill subsidies.
(jh)
Source: RMF FM
