Slovenia will allocate two percent of GDP for defense this year, and three percent by 2030
Ljubljana – The Slovenian government will allocate two percent of GDP for defense and security policy this year, as announced by the cabinet of the Prime Minister of Slovenia Robert Golob. Expenditures will gradually increase to three percent of GDP by 2030. If necessary, they will also use the option to deviate from EU fiscal rules.
Defense is significantly more than just the military, Golob stated. This includes numerous investments in multifunctional facilities, known as dual-use, including in the areas of infrastructure, the construction of new hospital capacities, and cybersecurity.
He emphasized that the government’s task is to implement the defense plan as rationally as possible. “In this regard, no cuts are anticipated either in this year’s budget or in established social rights or any other rights in the future, but we will finance any additional costs, if or when they arise, through additional borrowing,” Golob said.
He reminded that last week the government sent a request to Brussels to activate the so-called escape clause for borrowing, which they will use for this purpose if or when necessary.
As added by the Minister of Finance Klemen Boštjančič, the national escape clause would allow for an increase in defense spending over the next four years that would exceed commitments from the medium-term fiscal-structural plan within the framework of European public finance rules.
The increase in defense funds, according to the minister, “does not mean that we will allocate additional financial resources for defense expenditures, but we will define the funds that we are already allocating for certain infrastructure and other defense purposes as defense expenditures.”
In 2024, Slovenia allocated about 1.35 percent of GDP or 904.7 million euros for defense expenditures. Calls for an increase in defense spending are strengthening, particularly within NATO, but also in the EU. (May 8)
