Russian threat pushes Sweden to additional $2.9 billion defense spending pledge for 2026

A Swedish Marine with the 2nd Amphibious Battalion, 1st Marine Regiment displays a unit patch during a live fire sniper range demonstration as part of exercise Archipelago Endeavor 25 in Berga, Sweden, Aug. 28, 2025 (USMC).

BELFAST — Tested by Russia’s “multi-dimensional” threat, Sweden announced today that it will increase defense spending by 26.6 billion SEK ($2.9 billion) in 2026, raising its defense spending to 2.8 percent of GDP.

In a statement, the Swedish Ministry of Defense (MoD) pointed directly to Moscow’s menace and the “prevailing security situation” for the renewed fiscal push, while noting the country is undergoing “the most comprehensive reinforcement” of the Nordic nation’s defense capabilities since the Cold War.

Stockholm also plans on taking “additional steps” so that defense spending covered by future budget bills can meet NATO’s 3.5 percent GDP target, agreed by most allies at the last alliance summit, by 2030. Further “analyses and reports” from national defense agencies and additional GDP “growth” will be required for the alliance-driven spending goal to be achieved.

“Sweden’s defence must continue to grow in parallel with increased utilisation of the war organisation; this includes participation in NATO’s deterrence and defence measures, adaptations to improve national preparedness and continued military support to Ukraine,” added the MoD statement.

An increased allocation of more than 4.7 billion SEK is proposed for procurement of “materiel and facilities,” and as a “step towards” hitting the revised NATO spending target.

Planned investment in high-profile procurements for 2026 includes air defence systems, rocket artillery, ammunition and combat vehicles for the Swedish Army, new surface combat vessels for Marines and tactical transport aircraft, alongside long-range combat “capabilities” for the Swedish Air Force.

“Lessons from the war in Ukraine underscore the importance of being able to quickly develop military capability,” stressed the MoD, adding that funding from the Budget Bill 2026 will also go toward local industry focused initiatives, such as a “defence innovation unit, research infrastructure and groundbreaking technologies worthy of protection.”