Czech Republic ramps up military budget to meet NATO commitments

The Czech government plans to increase its defence budget by CZK 36 billion next year in a bid to meet NATO's target of allocating 2% of GDP to defence spending for the first time, Prime Minister Andrej Babiš said.

Babiš made the announcement before departing for the NATO summit in Ankara, Caliber.Az reports, citing Czech media.

"Next year, we'll increase the defence budget by CZK 36 billion, and we should therefore reach two percent for the first time," he said.

The Czech defence budget currently stands at CZK 154.79 billion, equivalent to about 1.8% of GDP. The government has also reallocated an additional CZK 30 billion from other ministries to support defence spending.

Despite those measures, Babiš acknowledged that the Czech Republic is still expected to fall short of NATO's 2% benchmark this year.

Defence Minister Jaromír Zůna has previously said defence spending is projected to reach only 1.78% of GDP in the current year, while confirming plans to seek a CZK 190 billion defence budget next year to ensure compliance with NATO's target.

Babiš said the additional funding would support military recruitment and the modernization of the Czech Armed Forces.

According to the prime minister, the investment will help implement a new military development strategy focused on strengthening air defence, expanding anti-drone capabilities, and fulfilling the country's long-standing brigade commitments to NATO.

The announcement comes as NATO leaders prepare to discuss a proposed €70 billion military assistance package for Ukraine covering this year and next.

By Vafa Guliyeva