Canada’s NATO commitment to spend 2 percent of its gross domestic product (GDP) on defence will leave the country in an increasingly “weak fiscal position,” according to a recent report.
Canada has been under pressure for some time to spend the minimum amount NATO member countries agreed to more than a decade ago.
Canada recommitted to reaching the 2 percent target at NATO’s annual meeting last summer in Lithuania, but that commitment may not be realistic. Canada simply does not have the funds it needs to earmark billions of dollars to meet its defence benchmark, according to analysis from the Fraser Institute.