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Canada unlikely to meet NATO commitments without significant debt accumulation

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5 minute read

From the Fraser Institute

By Grady Munro and Jake Fuss

At this year’s NATO summit, held in Washington, D.C., Canada will undoubtedly face renewed pressure by our allies to increase defence spending to reach the alliance’s spending target of two per cent of gross domestic product (GDP)—a target that is increasingly viewed as the bare minimum. Despite recent increases to defence spending, the Trudeau government has yet to chart a course that gets Canada to two per cent, and it will be hard-pressed to do so without accumulating significantly more debt than what is already planned.

The days are long gone where Canada was simply one of many NATO members that failed to meet the alliance’s defence spending target, and we are now one of only eight countries that spends less than two per cent of GDP on defence. Indeed, NATO estimates we will spend 1.37 per cent of GDP on defence in 2024. Worse still, Canada is the only country that has not articulated a plan to reach that target by the end of the decade.

It is because of this that Canada has faced mounting pressure from our allies to release a plan that gets us to two per cent of GDP—with a recent example being a bipartisan letter sent to Prime Minister Trudeau from 23 U.S. senators, urging him to make good on our commitment.

In the face of this pressure, the Trudeau government recently released an updated defence policy, which commits an additional $8.1 billion over the next five years and $73.0 billion over the next 20 years, towards national defence. As a result of these new commitments it’s expected that Canada will spend 1.76 per cent of GDP on defence by 2029/30, which gets us closer to the NATO target but still ultimately falls short.

The problem facing the federal government is that, due to its own failures to responsibly manage the nation’s finances, Canada is currently in a weak fiscal position from which to increase defence spending.

During its time in office, the Trudeau government has demonstrated a complete lack of discipline regarding federal spending and debt accumulation. From 2015/16 to 2024/25, annual federal program spending (total spending minus debt charges) is expected to have increased nominally by $210 billion (76.7 per cent), which has resulted in ten consecutive budgetary deficits. These deficits have contributed to a $986.9 billion (89.4 per cent) increase in federal gross debt during the Trudeau government’s tenure.

It’s worth noting that the large majority of federal spending increases have gone towards programs and services other than national defence. Of the $210 billion in new annual spending since 2015, just 8.1 per cent ($17.1 billion) went to the defence budget.

Based on the latest federal budget, Canadians can expect much of the same fiscal mismanagement in the years to come. Indeed, over the next four years the Trudeau government plans to run deficits averaging $29.1 billion and accumulate an additional $400.1 billion in gross debt.

Due to the poor state of federal finances, the Trudeau government has little to no fiscal room with which to increase defence spending—unless of course, it chooses to fund new spending entirely using debt or cut spending in other areas. The government has already chosen the former to pay for its recent defence spending increases, given cumulative deficits from 2024/25 to 2027/28 are $44.7 billion higher in Budget 2024 than in Budget 2023, but continued debt accumulation comes at a cost to Canadians—largely in the form of high and increasing debt interest costs.

Despite recent increases, the Trudeau government still has yet to chart a course to spend two per cent of GDP on defence. But due to the government’s poor fiscal discipline, it will be hard-pressed to reach the target without significant debt accumulation.

armed forces

Military may be ground zero for the war on woke

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From The Center Square

By 

“We’ve seen under the last three and a half years of the Biden-Harris administration, it’s been hard to recruit and keep good service members, in part because of the bad woke policies, the loss of focus by this administration on what the mission is”

President-elect Donald Trump’s pick to lead the Department of Defense, though not yet confirmed, has pledged to root out “woke” ideology in the military.

Other Republicans have lamented the same issue for years but done little about it, but if Peter Hegseth can be confirmed, the U.S. military may become ground zero in the Right’s war on woke.

Military veteran and Fox News Host Hegseth has repeatedly attacked the military leadership’s embrace of “woke” culture, which usually refers to the ideology around transgenderism, gender pronouns, and racial identity politics.

Despite allegations and attempts to end his bid, Hegseth has stood firm, though his fate in the Senate is unclear. A public statement from Trump last week put to rest any thoughts that Trump was considering withdrawing the pick.

“Pete is a WINNER, and there is nothing that can be done to change that!!!” Trump said in a statement.

The American Accountability Foundation released a list of 20 officers who Hegseth should fire. Notably, during his viral interview with Joe Rogan, Trump told a story about how military leaders in Washington, D.C. told Trump that destroying ISIS quickly wasn’t possible, but when Trump visited the military leaders on the ground, he heard a different story. Those commanders, Trump said, told him it was doable but Washington, D.C. had tied their hands.

“The woke takeover of the military is a major threat to our national security,” AAF President Thomas Jones wrote in a letter to Hegseth earlier this week.

“As global tensions rise, with Iran on the march, Russia at war, and China in the midst of a massive military buildup, we cannot afford to have a military distracted and demoralized by leftist ideology,” he added in the letter, first obtained by The New York Post. “Those who were responsible for these policies being instituted in the first place must be dismissed.”

That anecdote highlights growing sentiment on the Right that the effectiveness and mission of the military has been hijacked by a handful of leaders in the Pentagon.

Lawmakers have raised that concern for years, pointing to a slew of recent federal spending backing controversial Diversity, Equity and Inclusion policies.

Last year, Trump’s pick to lead the U.S. State Department, Sen. Marco Rubio, R-Fla., told The Center Square that woke policies were “hollowing out” our military.

A Department of Defense comptroller report from the same year included $86.5 million for “dedicated diversity and inclusion activities” as well as language showing the importance of DEI to the military.

Syrian children are back in schools, in sign of some normalcy

“The Department will lead with our values – building diversity, equity, and inclusion into everything we do,” the report said.

The actual figure spent on backing the same kind of policies is likely much larger and impossible to know, as the language and ideology has permeated much of the employee training, H.R. policies, and more.

Other anecdotes highlight the prevalence of the newfound way of thinking for Armed Forces. For instance, as The Center Square previously reported, official training materials for West Point cadets included warnings about white privilege.

Rubio released a report detailing these same issues, which includes another example where a slide presentation for the Air Force Academy was titled, “Diversity & Inclusion: What it is, why we care, & what we can do.”

This same taxpayer-funded training warns cadets to avoid saying words like “mom” and “dad” because the language is gendered.

House Majority Leader Steve Scalise, R-La., spoke about the NDAA and blamed woke policies for the armed forces’ difficulties meeting recruiting goals. Even after lowering recruitment targets, the U.S. military has fallen short of its recruitment goals in recent years.

“We’ve seen under the last three and a half years of the Biden-Harris administration, it’s been hard to recruit and keep good service members, in part because of the bad woke policies, the loss of focus by this administration on what the mission is,” Scalise said at a news conference Tuesday.

With Trump and Hegseth in the executive branch and leadership like Scalise behind it, cleaning house of the Pentagon might be possible, albeit difficult.

“We start addressing that by routing out more of the woke policies over at the DOD,” Scalise continued. “Of course, that ultimately is going to get fixed when President Trump takes office next month. He talked about those things during the campaign, what he would do to restrengthen and reinvigorate our military.”

If confirmed by the U.S. Senate, Hegseth would lead the largest and most complex federal agency with an annual budget of $840 billion and 3.4 million military and civilian employees.

Hegseth, 44, was an infantry officer in the Army National Guard from 2002 to 2021. He graduated from Princeton University in 2003. He was later commissioned as an infantry officer in the Army National Guard. He served in Afghanistan, Iraq, and Guantanamo Bay. He left with the rank of major, according to the Army National Guard. Hegseth earned two Bronze Stars, two Army Commendation Medals and the National Defense Service Medal with Bronze Service Star, among others.

But Hegseth faces scrutiny over a 2017 sexual encounter in which a woman told police the former Fox News anchor blocked the door of a hotel room in California and sexually assaulted her. Hegseth has denied the allegation and said that the encounter was consensual. The woman reported the allegations to local police. Hegseth was never charged with a crime. He reached an undisclosed settlement with the woman in 2023.

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Canadian military survey on ‘extremism’ asked soldiers if they’ve worn ‘Make Canada Great Again’ hats

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From LifeSiteNews

By Clare Marie Merkowsky

A survey approved by Canada’s Department of National Defence and sent to Canadian soldiers about ‘right-wing extremism’ seems to define ‘extremism’ as including patriotism and questioning mainstream narratives.

A survey sent to the Canadian Armed Forces (CAF) questioned soldiers regarding so-called “extremism” activity, including wearing “Make Canada Great Again” hats.

On November 26, the Department of National Defence sent CAF members an “extremism” probe gauging “Hateful Conduct and Right-Wing Extremism in the Canadian Armed Forces,” written by the Ontario Tech University’s Network for Research on Hateful Conduct and Right-Wing Extremism in the CAF.

“The collected information will provide researchers with the means to understand and provide recommendations on how to detect and combat hateful conduct and radicalization among CAF members,” the news release read.

“Study results could also help develop recommendations on targeted interventions, systemic reform, and policy,” it continued.

According to screenshots obtained by independent media outlet True North News, the survey’s definition of “extremism” seems to include patriotism and questioning mainstream narratives.

One section asked if soldiers had purchased “extremism merchandise” such as a “Make Canada Great Again hat,” “‘liked’ an extremist group post on social media,” or “provided strategic advice or training to an extremist group” in the past two to five years.

The questionnaire questioned if soldiers had ever “searched for and watched extremist music and/or videos,” “sported a tattoo or clothing with extremist symbols,” or verbally or physically attacked a member of a racial or religious minority.

Later, the survey asked CAF members to what extent they agree with statements including, “Jews have too much control over certain institutions,” “Canada appears to be moving towards fascism,” and “non-white immigration trends are a threat to white people.”

While the survey was approved by both the Department of National Defence and CAF Social Science Research Review Board, the former has since distanced itself from the probe.

However, as radical as the survey is, it is in keeping with the woke agenda embraced by the Canadian military under Prime Minister Justin Trudeau.

Since Trudeau took office, the Canadian military has become increasingly woke and has been forcing LGBT ideology on its personnel. At the same time, military recruitment has plummeted.

In April, Canada’s first “transgender” military chaplain was suspended for alleged sexual harassment, after he reportedly sought to grope a male soldier at the Royal Military College while drunk.

As LifeSiteNews previously reported, the military spent Canadians’ tax dollars on pro-DEI polls, guest speakers, presentations, and workshops, as well as LGBT flags. The workshops covered topics including “the gendered nature of security,” while one talk discussed “integrating gender and diversity perspectives.”

In 2021, the defence department revealed that it has two separate committees and eight programs that worked to appoint homosexual advisors to “innovate” religious instruction and gender-neutral uniforms.

In June of 2023, the Canadian military was criticized for “raising the pride flag” in honor of the “2SLGBTQI+ communities.”

That same month, Canadian troops in Latvia were forced to purchase their own helmets and food when the Trudeau government failed to provide proper supplies. Weeks later, Trudeau lectured the same troops on “climate change” and so-called disinformation.

Last November, officials admitted that the nation’s military is shrinking to dangerously low numbers as Trudeau continues to push the LGBT agenda on Canadian soldiers. In addition to low recruitment, the military is struggling to retain soldiers.

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