Sweden to Increase Military Budget by €2.4 Billion in 2026

Sweden plans to increase its defense budget by €2.4 billion in 2026 to reach the target defense spending level of 2%.

Prime Minister Ulf Kristersson announced this.

The increased funding will enable Sweden to modernize its military, acquire the latest weapons and equipment, and ensure readiness against potential threats in the region.

Overall, the defense budget will grow by 18% in percentage terms, which will make it possible to finance key areas such as air defense, tank fleet modernization, and the acquisition of new fighter jets.

“This is unprecedented, except perhaps during the darkest days of the Cold War,” Kristersson told the media.

The Swedish Armed Forces are actively expanding their ranks and modernizing their troops.

This is most evident in new contracts for the procurement of air defense systems, particularly Patriot systems and additional IRIS-T SLM launchers, which will be delivered to the ground forces and will provide protection for three newly formed brigades.

Sweden plans to upgrade its STRV-122 tanks to the STRV-123 level, equivalent to the German Leopard 2A8. A total of 110 tanks are set to be modernized, 44 of which will be newly acquired.

Sweden is also modernizing its surface and submarine fleets. As part of the procurement of new Luleå-class frigates, the Swedish Defence Materiel Administration announced that, in addition to the domestic proposal from SAAB, an alternative will be considered – primarily the French FDI-class frigate, which could become the Swedish Navy’s main combat vessel.

In addition, as part of strengthening the strike capabilities of its own armed forces, Sweden will purchase and integrate Taurus cruise missiles on Gripen C fighters by 2028.

In early April, the Swedish Ministry of Defense ordered four C-390 Millennium military transport aircraft manufactured by the Brazilian company Embraer.

Militarnyi previously reported that Sweden would increase its defense spending to 5% of GDP amid growing security threats.