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Denmark Plans To Invest $21 Billion In Defense Spending

Comfort Ampomaaby Comfort Ampomaa
May 30, 2023
Reading Time: 3 mins read
Comfort Ampomaaby Comfort Ampomaa
in Europe
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Denmark Plans To Invest $21 Billion In Defense Spending

Denmark's Leopard 2A7 tanks move during the Winter Camp 23 military drills near Tapa, Estonia, Sunday, Feb. 5, 2023.

Danish government announced on Tuesday, May 30, 2023, that it plans to invest about 143 billion kroner ($21 billion) in the country’s defense over the next decade.

The Nordic nation currently spends around 27 billion Danish crowns per year ($3.89bn) on defence, and the government had said it will progressively increase this by up to 19.2 billion Danish crowns ($2.8bn) by 2033, beginning with an increase of 6.9 billion Danish crowns ($99.5m) next year.

The government has an ambition to reach NATO’s target of spending 2% of gross domestic product on military budgets by 2030, in part as a response to Russia’s invasion of Ukraine.

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Calling the proposal “an ambitious plan,” acting Defense Minister, Troels Lund Poulsen disclosed at a press conference, “We are at a historic turning point in defense and security policy. There is war in Europe, and we can no longer take peace for granted.”

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Danish acting Defense Minister, Troels Lund Poulsen speak during a joint news briefing, amid Russia’s attack on Ukraine, in Odessa, Ukraine April 10, 2023.

“The threat picture can change quickly. We see this not least with the war in Ukraine,” Lund Poulsen added.

“We must, to a greater extent, be able to live up to the demands and expectations that NATO and its allies have for Denmark. This requires large investments in our armed forces to lift our share of the responsibility.”

Troels Lund Poulsen

After the Cold War, Denmark scaled back spending on its defense capabilities.

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Nonetheless, Danish Prime Minister, Mette Frederiksen, who has emerged as a contender to become NATO’s next chief, announced on Monday, May 29, 2023, that the country would be allocating an additional 21.9 billion Danish crowns ($3.16bn) in military aid to Ukraine. The decision was welcomed by Ukrainian President, Volodymyr Zelenskyy.

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Volodymyr Zelenskyy, President of Ukraine.

A Starting Point For Deliberations With Other Political Parties

According to Kristian Søby Kristensen, who is with the Center for Military Studies at the University of Copenhagen, what the government presented was “an economic frame” which was “a starting point for talks” with other political parties before a decision is made on spending the money.

The center-left Social Democrats, the center-right Liberal Party, and the center-right Moderate party constitute Denmark’s three-party coalition administration. Together, they hold 89 of the 179 seats in the parliament, and with the support of the four legislators who represent the two partially independent Danish regions of Greenland and the Faeroe Islands, they have a majority.

Nevertheless, as is customary with such matters, the government will look for wide, bipartisan support.

Despite the fact that none of the funds were designated for anything in particular, Lund Poulsen said that “a strengthened conscription will also be able to expand the Armed Forces’ recruitment base and the reserve.” Additionally, he declared that he desired “more equality between men and women.” While four months of conscription are required for men in Denmark, women have an option.

Staff members of the Danish Armed Forces have recently left for a variety of reasons. Earlier this month, the government said it wants to spend 38 billion kroner ($5.5 billion) over the next decade to modernize military facilities, renovate shabby and dilapidated buildings, increase the number of soldiers and upgrade obsolete computer systems. That amount was part of the 143 billion-kroner plan presented on Tuesday.

In recent years, Denmark’s Armed Forces have focused of missions abroad rather than on territorial defense, Søby Kristensen noted, adding that on top of that came demands to save money that meant that “they deprioritized anything that was not associated” with foreign assignments.

READ ALSO: Forex Bureaus Association of Ghana Predicts the Cedi to Appreciate Against the Dollar Due to Creditor assurance of $3bn IMF loan

Tags: defense spendingDenmarkRussia-Ukraine war
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