Trudeau gov’t inflated NATO spending targets… again

Cabinet refused to release spending data following a July 8 Parliamentary Budget Officer report on NATO figures. Now, the agency says the Trudeau government produced an ‘erroneous GDP forecast,’ inflating figures further.

The Department of National Defence (DND) has twice been caught inflating NATO spending targets by the Parliamentary Budget Officer (PBO) in as many months. Defence Minister Bill Blair dismissed their newly minted report.

“Defence expenditures would need to reach $81.9 billion by 2032, almost double the projected amount for 2024 of $41 billion,” said the PBO report The Fiscal Implications Of Meeting The NATO Military Spending Target.

“They are different numbers, with respect,” Blair told reporters, claiming the PBO used ‘different arithmetic’ than the DND.

Cabinet refused to release spending data following a July 8 PBO report that accused the defence department of inflating figures. 

An April 8 budget note Addendum: National Defence Spending anticipated growing military expenditures to 1.76% of GDP by 2030. The PBO said existing figures would not exceed 1.4% of GDP.

Now, the agency contends spending will not exceed 1.5% of GDP, “based on an erroneous GDP forecast” from its previous report, reported Blacklock’s Reporter.

Prime Minister Justin Trudeau previously defended his government’s record: “When we took office, Canada was spending less than one percent of our GDP on defence each year, but we vowed to change that. And we have followed through on our word.”

Of 32 NATO members, 23 countries meet or exceed the 2% GDP target. Canada is currently spending 1.37%, according to NATO’s figures.

Trudeau announced July 11 that Canada intends to spend 2% of GDP on defence by 2032. The feds pledged $73 billion over the next 20 years but has not clarified how it will reach the NATO target.

However, Defence Minister Bill Blair has repeatedly claimed Canada will reach the 2032 target. “The 2% commitment is a challenge for Canada to reach,” he told reporters June 19. “We are going to reach it.” 

“Is that something Canada can actually spend?” asked a reporter. “I think an investment in our national defence is important to all Canadians,” replied Blair.

The minister nor his deputy minister, Stefanie Beck, could elaborate on a timeline to meet spending obligations.

“We recognize we have a commitment to reach two percent,” said Blair. “I believe we must inevitably reach that level of spending.”

“Work is currently underway within National Defence … to detail the spending projections associated with … spending between 2030 and 2032,” Deputy Minister Beck previously wrote the PBO. 

The DND earlier invoked ‘cabinet secrecy’ to avoid disclosing those figures to the PBO, which are still unknown to the agency.

Skepticism remains after a Pentagon assessment last year revealed Trudeau would not meet these targets. He dodged questions by reporters when asked to clarify its findings.

Obtained and first reported by The Washington Post, the document acknowledged Canada suffered from “widespread” military deficiencies that harmed relations with Western allies.

Only 58% of the Armed Forces could mobilize should their NATO allies declare war, according to a secret DND presentation obtained by CBC News.

Almost half of the military's equipment is considered “unavailable and unserviceable,” it reads, including 45% of equipment set aside for the defence of Europe, including potential involvement in the Russia-Ukraine war.

The Royal Canadian Air Force is currently in the worst shape of all the military forces, with 55% of its equipment considered “unserviceable,” followed by the navy (54%) and army (46%).

In-house research revealed almost half (46%) of Canadians believe the military is underfunded. “Most would agree the Canadian Armed Forces (CAF) lack equipment or have obsolete equipment and that they are doing the best they can with what they have,” said a report, Views Of The Canadian Armed Forces 2024 Tracking Study.

Only a quarter (26%) of Canadians surveyed said current spending is adequate, and a meagre 27% believe the CAF are sufficiently equipped for combat.

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Alex Dhaliwal

Calgary Based Journalist

Alex Dhaliwal is a Political Science graduate from the University of Calgary. He has actively written on relevant Canadian issues with several prominent interviews under his belt.

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