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Military Spending for Canada
By: Paul Young, CPA, CGA
Date: November 19,2016
 Military spending in Canada is about 18.5B per year or about 1.1%
of GDP
 Trump is pushing that all NATO countries commit to 2% of GDP to
military spending. Canada would need to bump up their military
spending by about $15B. New spending would need new revenue
sources and/or budget cuts elsewhere to meet the commitment to
NATO
 Modern warfare has come into play through use of drones, rail
guns, laser, etc.
 Canadian military is also used to support actions by fisheries
and/or search and rescue.
Summary
Canada Military Role
Military Action/Canada
 http://www.cbc.ca/news/world/nato-vows-solidarity-with-turkey-
over-isis-threat-but-urges-peace-with-kurds-1.3170458
Peace Keeping
World Spending on Military
Trump’s main message was on defence spending, burden sharing,
between Europe and the United States. And there I absolutely agree with
him. We need a more balanced burden sharing between the United States
and Europe. It’s not viable in the long run that the United States pays 70
percent of the total defence spending of NATO,” the former Norwegian
prime minister said. Source -
http://www.euronews.com/2016/11/18/donald-trump-right-on-european-
defence-spending-says-nato-chief
NATO
Source - http://money.cnn.com/2016/07/08/news/nato-summit-spending-countries/ or
http://www.nato.int/nato_static_fl2014/assets/pdf/pdf_2016_03/20160316_2016-mbc-
recommendations-exec-summ.PDF
All NATO countries, including Canada, agreed in 2014 to stop cutting
military budgets and work towards spending two per cent of GDP on
defence. The goal was intended to ensure all alliance members were doing
their fair share, which includes investing enough to field a modern military.
Source - https://www.thestar.com/news/canada/2016/07/05/trudeau-defends-
canadas-military-spending-record-points-to-nato-contribution.html
Canada Forces spending
Military Spending by Canada
Post 9-11 2001 Military spending as % of GDP
Canada military spending
2014-2015 - Spending Canada Military
Canadian Military Compensation
Canadian Frigate Fleet Replacement
Nova Scotia
RPP – Canada Defense – 2015-2016
Canada Defense Issues
NDP Comments
 On the question of how they would handle the
country's approximately $20 billion defence budget, which
the parliamentary budget office says needs to be increased to
maintain existing troop and equipment levels, the NDP say they
would "maintain budgetary expenditures on defence to meet our
commitments.“ That is far from a guarantee and officials say much
would depend on the defence review, which could "very well come
back and say there needs to be an increase.“ Source -
http://www.cbc.ca/news/politics/canada-election-2015-ndp-
military-peacekeeping-1.3260525
 at the 1:20 minute the NDP comments on the Military OAS -
https://www.youtube.com/watch?v=32bySE5UMw4

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Military spending for Canada - November 19, 2016

  • 1. Military Spending for Canada By: Paul Young, CPA, CGA Date: November 19,2016
  • 2.  Military spending in Canada is about 18.5B per year or about 1.1% of GDP  Trump is pushing that all NATO countries commit to 2% of GDP to military spending. Canada would need to bump up their military spending by about $15B. New spending would need new revenue sources and/or budget cuts elsewhere to meet the commitment to NATO  Modern warfare has come into play through use of drones, rail guns, laser, etc.  Canadian military is also used to support actions by fisheries and/or search and rescue. Summary
  • 6. World Spending on Military Trump’s main message was on defence spending, burden sharing, between Europe and the United States. And there I absolutely agree with him. We need a more balanced burden sharing between the United States and Europe. It’s not viable in the long run that the United States pays 70 percent of the total defence spending of NATO,” the former Norwegian prime minister said. Source - http://www.euronews.com/2016/11/18/donald-trump-right-on-european- defence-spending-says-nato-chief
  • 7. NATO Source - http://money.cnn.com/2016/07/08/news/nato-summit-spending-countries/ or http://www.nato.int/nato_static_fl2014/assets/pdf/pdf_2016_03/20160316_2016-mbc- recommendations-exec-summ.PDF All NATO countries, including Canada, agreed in 2014 to stop cutting military budgets and work towards spending two per cent of GDP on defence. The goal was intended to ensure all alliance members were doing their fair share, which includes investing enough to field a modern military. Source - https://www.thestar.com/news/canada/2016/07/05/trudeau-defends- canadas-military-spending-record-points-to-nato-contribution.html
  • 10. Post 9-11 2001 Military spending as % of GDP
  • 12. 2014-2015 - Spending Canada Military
  • 14. Canadian Frigate Fleet Replacement
  • 16. RPP – Canada Defense – 2015-2016
  • 18. NDP Comments  On the question of how they would handle the country's approximately $20 billion defence budget, which the parliamentary budget office says needs to be increased to maintain existing troop and equipment levels, the NDP say they would "maintain budgetary expenditures on defence to meet our commitments.“ That is far from a guarantee and officials say much would depend on the defence review, which could "very well come back and say there needs to be an increase.“ Source - http://www.cbc.ca/news/politics/canada-election-2015-ndp- military-peacekeeping-1.3260525  at the 1:20 minute the NDP comments on the Military OAS - https://www.youtube.com/watch?v=32bySE5UMw4

Editor's Notes

  1. http://books.sipri.org/files/FS/SIPRIFS1404.pdf Canada has dropped out the top 15 and was replaced by Turkey.
  2. http://ploughshares.ca/wp-content/uploads/2012/08/WP3.1.pdf From 1946 to 2001 From the 1980s to 2001 the Canadian Forces were more involved in peace keeping work
  3. http://www.tradingeconomics.com/canada/military-expenditure-percent-of-gdp-wb-data.html Conservatives on average have spend 1.22% of GDP on Military as compare to Liberals that spent 1.16% of GDP. Harper has pulled the troops out of Afghanistan as part of reducing the military commitment
  4. https://www.google.ca/search?q=Canada+military+spending+trends&rlz=1C1CAFB_enCA605CA605&espv=2&biw=1920&bih=929&tbm=isch&imgil=L9k3TFUkqcnleM%253A%253BcUXxitqgyA2TYM%253Bhttp%25253A%25252F%25252Fwww.tpsgc-pwgsc.gc.ca%25252Fapp-acq%25252Fstamgp-lamsmp%25252Feam-lmp-eng.html&source=iu&pf=m&fir=L9k3TFUkqcnleM%253A%252CcUXxitqgyA2TYM%252C_&usg=__FAvyjewQXcDW-hPdLdD9mNcSGUA%3D&ved=0CGQQyjc&ei=SlqDVMKSJsOfyATZqYCwBQ#facrc=_&imgdii=_&imgrc=npZKrRya0xgauM%253A%3BsOPRiH-WB2QYmM%3Bhttp%253A%252F%252Fwww.ceasefire.ca%252Fwp-content%252Fuploads%252F2011%252F03%252FCdnMilitarySpending.2010.jpg%3Bhttp%253A%252F%252Fwww.ceasefire.ca%252F%253Fp%253D7545%3B500%3B323
  5. http://www.forces.gc.ca/assets/FORCES_Internet/docs/en/DND-RPP-2014-15.pdf
  6. http://www.simcoereformer.ca/2014/10/30/canadas-military-among-highest-paid-in-the-world
  7. http://atlantic.ctvnews.ca/first-of-frigates-under-4-3-billion-modernization-program-ready-for-duty-1.2116539 Government has gave no indication that will stopped any of the projects, but may adjust the timelines due to fact that it may be faced with other priorities.
  8. http://www.canadianmetalworking.com/production-starts-at-irving-shipbuilding-1003262843/
  9. http://www.forces.gc.ca/en/about-reports-pubs-report-plan-priorities/2015-reports-plans-priorities.page#sec1_4
  10. http://www.defense-aerospace.com/articles-view/release/3/164953/report-calls-for-downsizing-canadian-defense,-saving-$10-billion.html