Defence budget

2025 defence budget

The 2025 defence budget will amount to 3.45% of GDP or EUR 1 559 433 634.

The bulk of next year's defence budget, 42%, will be used to develop military capabilities. About 26% of the budget will cover personnel costs, another 26% - maintenance costs, while 6% will be used to develop military infrastructure.

The main projects for the development of the National Armed Forces' combat capabilities are the implementation of a layered air defence system, the acquisition of coastal defence missiles, and the procurement of infantry fighting vehicles, artillery, ammunition and equipment. The largest construction project for the National Armed Forces is the Selonia Military Training Area, the first phase of which will be completed in 2025. Latvia will also continue to provide unwavering support to Ukraine, with 0.25% of GDP to be allocated for Ukraine next year.

The most important public benefits of the defence sector funding in 2025 will be a protected and secure Latvian state, ample opportunities for citizens to acquire military knowledge and skills, improved capabilities of the National Armed Forces to face various threats, developed infrastructure and military training areas for National Armed Forces and allies.

Infographic about the 2025 defence budget.

2024 defence budget

Taking into account the most recent government decisions to strengthen defence, with funding for strengthening air defence, strengthening the eastern border, as well as for the NATO Baltic Air Policing Mission to Latvia in 2024-2025, the defence budget in 2024, including the additional allocation, is EUR 1 367 million, and taking into account the Ministry of Finance's GDP forecast for 2024, defence funding has reached 3.2% of GDP.

The budgetary priorities of the Ministry of Defence and the expected financing for the coming years are being developed and will be defined in line with the National Armed Forces Development Plan 2025-2036