Defence Japan to increase defence budget to 2% of GDP

Based on an initial forecast of Japan's GDP for fiscal 2021, 2 percent would constitute somewhere around 11 trillion yen ($79 billion) of the 559 trillion yen produced in the country. Overall defense spending for fiscal 2021 was budgeted at 6.1 trillion yen, which was 1.09 percent of GDP. But by adding in other expenses so it falls under NATO definitions, that figure rises to 6.9 trillion yen, which is 1.24 percent of GDP. [...] The new spending measures will also include the budget for the Japan Coast Guard and pensions for veterans and bereaved families of soldiers.

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[The government] wants the extra money to help pay for new munitions, including longer-range missiles capable of striking targets over 1,000 kilometres from Japan's islands that could deter Chinese forces from attacking Japan or neighbouring Taiwan, and that could also be used to hit missile sites to thwart any North Korean attack. The expert panel led by former Vice Minister for Foreign Affairs Kenichiro Sasae agreed that Japan needed to reinforce its Self Defense Forces to deter China.

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The government will move away from a vertically administered structure focusing only on activities under the Ministry of Defense, and toward a system where all departments will have a role to play in national security. Based on the current GDP, the new defense budget will amount to approximately 11 trillion yen. The main pillar of the new defense budget will be acquiring counterstrike capabilities, which will be used to attack opponents' missile launch sites and other targets. The government will increase the range of its missiles and introduce the Tomahawk, a U.S.-made cruise missile. It will also strengthen its fighting capability by purchasing more ammunition, which is currently in short supply.

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