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Poland plans to increase defence spending by 2025 – media reports – Euractiv

Poland plans to increase defence spending by 2025 – media reports – Euractiv

According to plans for the new budget, which were seen by Polish media, Poland will spend 4.7 percent of its GDP on defense in 2025, 0.6 percentage points more than this year's spending plans.

Poland is already the NATO country with the highest defense spending. In 2024, this is expected to amount to 4.1 percent of GDP. However, the Polish government is considering increasing the defense budget by a further 0.6 percentage points next year. Money.pl reports.

Poland is setting a record in terms of both money supply and share of GDP, increasing its defense spending, already estimated at $35 billion this year. This makes Poland the fifth largest donor to NATO, with the United States leading the way with an estimated $968 billion.

Poland also hopes to be able to transfer part of the costs to the EU budget, which would significantly ease the burden on the state budget, a government source said. Money.pl.

The argument would be that Poland shares an EU external border with Russia and war-torn Ukraine.

“We are talking seriously with the EU about including some of these defence posts in the EU budget, as we are a frontline country and take responsibility for the entire EU,” the source said.

The source said talks were still ongoing and impacts were expected before the end of September, adding: “If even 1 percent were transferred, it would be a success.”

The 2025 budget will be the first to be prepared by the new government led by Prime Minister Donald Tusk (Civic Platform, EPP), which replaced the previous conservative PiS (ECR) cabinet last December.

Other sources predict that the new Polish budget will have an even higher deficit than this year's. The European Commission recently initiated excessive deficit proceedings against Warsaw.

The sources justify the higher deficit by saying that it is necessary to offset the extravagant spending of the previous government that ruled Poland for the past eight years.

“Sadly, after PiS rule, we have to start paying off debts,” a source added.

(Aleksandra Krzysztoszek | Euractiv.pl)

Read more at Euractiv

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