Carney says world is at ‘turning points’ as he touts defence spending boost

Prime Minister Mark Carney said increasing defence spending to meet NATO targets could come with benefits for Canadians, but also potential 'trade-offs.'

Prime Minister Mark Carney says the world faces “turning points” as he vowed Canada will benefit from increasing defence spending to the new NATO target of five per cent of GDP by 2035.

At the same time, he acknowledged he will need “social licence” for the level of spending planned and that the country will need to consider the “trade-offs” down the road.

“Throughout Canada’s history, there have been turning points when the world’s fortunes have been in the balance, and each time Canada has chosen to step up, to lead on the path of democracy and freedom,” Carney said. “We’re once again in one of those moments. If we want the world of tomorrow to be shaped by our values, Canada must be ready. If we want a more secure world, we need a stronger Canada.”

Carney made the comments after NATO leaders agreed to hike the defence spending target from two per cent of GDP to the new five per cent target.

He was asked by reporters whether Canadians would need to make sacrifices to afford that spending, such as cuts to health-care transfers.

“The investments we’re making in defence and security, broader security, given the new threats that Canada faces, we’re not at a trade-off, we’re not at sacrifices in order to do those, these will be net additive,” he said.

“More of this will happen in Canada, more of it will build our economy at the same time as it improves our defence and we’ll get the benefits.”

However, he said as the world gets closer to the 2035 deadline for that five per cent target, the country will ultimately need to think about potential “trade-offs.”