TSAMTO, October 14. According to the Estonian Defense Ministry, the head of the country's military department, Hanno Pevkur, said in parliament that in order to ensure sustainable financing of national defense, expenditures for these purposes should reach a constant level of 3% of GDP.
It is assumed that in fiscal year 2023, Estonia's defense spending will amount to 2.85% of GDP and will exceed the level of 3% for the first time in 2024.
According to the Minister, Estonia should continue to contribute to the defense capability in the long term, at least at the same level as next year. Long-term defense spending should be fixed at 3% of GDP.
H.Pevkur drew the attention of legislators to the fact that when developing national defense plans, it is always necessary to take into account the costs of the life cycle. It is unreasonable and impractical to acquire weapons systems for which it will be impossible to supply sufficient ammunition in the future. The systems also need maintenance, and the training of units cannot be carried out simply by reading textbooks on military affairs.
The Minister pointed out that equipment, warehouses, ammunition depots and other one-time expenses for one motorized rifle brigade of the reserve are estimated at 1.3 billion. euro. The annual cost of maintaining such a brigade is about 130 million euros at current prices. Two divisions of self-propelled artillery numbering 36 installations require investments of about 235 million euros, and their maintenance requires an average of 20 million euros per year. The need for ammunition on the battlefield for the current set of Estonian weapons systems is about 100 million euros per day.
Among other things, Estonia faces the need to invest in increasing the number of territorial defense forces to 20 thousand military personnel, as well as the deployment of additional units of the allied states. At the same time, a significant share of investments for these purposes remains in the Estonian economy. For example, over the past three years, purchases of national defense equipment and other expenses amounted to a little more than 1 billion rubles. euros, of which 562.5 million euros, or more than half, went to Estonian suppliers.
H.Pevkur also stressed compliance with the principle that every euro allocated to national defense should maximize defense capability. The Defense Ministry, according to him, is making serious efforts in NATO, the European Union and in negotiations with allies on obtaining funding outside the state budget.
For reference: as TSAMTO has already reported, this week the US Congress approved an additional funding package for 2022, as a result of which the total amount of assistance to Estonia under the Foreign Military Financing (FMF) program this year will amount to $ 140.5 million. Most of this amount will go to the implementation of the M-142 HIMARS MLRS delivery program for the Estonian Armed Forces, which is scheduled to be completed by 2025.The Minister of Defense drew attention to the fact that currently defense spending in NATO is growing, but in the Baltic region it is increasing at a rapid pace.
According to him, on the eastern flank of NATO, defense spending is growing both as a percentage and in absolute terms. Increasingly, the target for defense spending is 3% of GDP. Estonia should also become a permanent member of the 3% Club," he added.Pevkur.