The Canadian government announced that it has met NATO's defense spending target of 2% of Gross Domestic Product (GDP). This achievement comes ahead of schedule, thanks to a significant increase in defense spending over the past year. Total defense expenditures rose by more than 63 billion Canadian dollars (45 billion US dollars), marking the largest annual increase in decades.

Ottawa is now focusing on even higher targets under NATO frameworks, including 3.5% of GDP for core defense spending and an additional 1.5% for broader security-related investments by 2035. The Prime Minister of Canada, Mark Carney, stated that Canadian leadership will be defined not only by the strength of its values, but also by the value of its strength.

As part of the planned increase in defense spending, Canada announced investments of more than 3 billion dollars (2.1 billion US dollars) focused on military infrastructure and operational capacity in the Atlantic region of the country. These funds support the modernization of facilities, enhanced training, and increased industrial output. The investments include approximately 1.2 billion dollars to upgrade power supply and municipal services at key Halifax naval facilities, ensuring capacity for future fleets and systems.

In addition, 648 million dollars will be allocated for two aviation support facilities at 14 Wing Greenwood, including hangars and maintenance infrastructure for maritime patrol and remotely piloted aircraft. Other projects include more than 180 million dollars for a training and integration center linked to future naval surface combatants. Up to 82.5 million Canadian dollars were allocated to acquire a 475-acre (192 hectares) waterfront industrial site intended to support naval logistics and operations.

Housing infrastructure is also included, with 60 million dollars allocated for a 140-unit residential complex for military personnel near 12 Wing Shearwater. In New Brunswick, over one billion dollars (718 million US dollars) will be directed to the CFB Gagetown training area, including upgrades to range infrastructure and the introduction of ground-based air defense systems. Additionally, 20.2 million dollars (14.5 million US dollars) are earmarked to modernize transition centers supporting personnel leaving military service.