Netherlands defines 2021 spending priorities
In its latest budget plan the Netherlands MoD is emphasising investment in ‘digitisation and sustainability’, green technology, extra cyber capacity, AI and modern equipment such as unmanned aircraft.
Four Predator B/MQ-9 Reaper MALE UAS, ordered in 2018, are expected to be delivered to the Dutch military in 2021.
In addition, the two hydrographic survey vessels in the Royal Netherlands Navy — HNLMS Luymes and HNLMS Snellius — are being modernised.
The MoD has allocated a materiel budget fund for the first time, setting aside €66 billion ($78.28 billion) over the next 15 years with €4.6 billion earmarked for 2021.
This fund enables the MoD to ‘better chart long-term expenditure’, the ministry noted on 15 September. ‘This also applies to the cohesion of the management and maintenance of the investments.’
Minister of Defence Ank Bijleveld-Schouten said: ‘Everyone knows that security and stability are preconditions for growth and development. That is why I think it is important to continue to invest and modernise.’
However, the Netherlands will still have one of the lowest contributions to NATO in 2021, with just 1.48% of GDP. The MoD described a ‘shrinking economy caused by the COVID-19 crisis’ but it still targets 2% of GDP for defence spending by 2024.
As part of our promise to deliver comprehensive coverage to our Defence Insight and Premium News subscribers, our curated defence news content provides the latest industry updates, contract awards and programme milestones.
Related Programmes in Defence Insight
More from Defence Notes
-
What the future holds for Ukraine and NATO under a Trump administration
Although Trump’s geopolitics policy for Europe remains unclear, defence analysts from the US and Europe predict how his incoming administration would attempt to handle critical issues on the continent.
-
RUSI deputy: UK needs longer procurement plans and improved awareness of US sift to Indo-Pacific
The UK budget announced in Parliament on 30 October was the first by a Labour government in 14 years which has also launched a review into defence procurement programmes.
-
Australia outlines longer punch and brings local industry onboard
The Australian government has placed a focus on Guided Weapons and Explosive Ordnance (GWEO) which has included the purchase of additional long-range rocket systems and investments in local production of missiles.
-
UK boosts defence budget by 5.3%, but is this enough?
The UK budget announced in Parliament on 30 October is the first by a Labour government in 14 years. While it sees a boost in defence spending, this comes in the face of fiscal challenges and the effects of inflation.
-
UK makes big moves to fix “broken” defence procurement system ahead of major review
The changes are intended to meet greater need and deliver more value for money.
-
US companies invest in production capabilities to satisfy DoD’s hunger for cutting-edge capabilities
BAE Systems, Booz Allen Hamilton and Lockheed Martin have been betting on new facilities and innovative manufacturing technologies to speed up the development of new solutions.