France Announces Doubling of Defense Budget Compared to 10 Years Ago... Scale of 103 Trillion Won

[Financial News] The French government, under pressure from the United States for defense cost sharing, announced that it will increase its defense budget to 64 billion euros (approximately 103 trillion won) by 2027. This is double the level of the 2017 budget.

According to European media such as the Financial Times (FT), Emmanuel Macron, President of France, announced this at a press conference on the 13th (local time), a day before the French Revolution anniversary. He argued, "As Europeans, we must ensure our security ourselves." Macron stated, "Freedom has never been so threatened since 1945," and added, "There is no longer a rear or a front line. This means we must strengthen our capabilities, power, and the entire nation."

He explained, "The military budget in 2017 was 32 billion euros (approximately 51 trillion won)," adding, "In addition to the current military planning law, an additional budget of 3.5 billion euros in 2026 and 3 billion euros in 2027 will be added." He emphasized, "Through this, the French defense budget will reach 64 billion euros by 2027."

Regarding the budget funding plan, Macron announced, "We will not cover this rearmament with national debt under any circumstances," and predicted, "This budget will be covered through more economic activity and higher production." He mentioned, "We need to address our vulnerabilities," specifically mentioning strengthening ammunition stockpiles, enhancing air defense and electronic warfare capabilities, expanding space capabilities, and maximizing soldier training intensity. Additionally, he announced plans to expand the reserve system and create a new framework for young people to serve the nation. Macron announced that he would announce the direction and decisions on potential mobilization plans by this fall.

He also mentioned France's role in the Ukraine war. Previously, the Trump administration in the United States drew a line by stating that the U.S. military would not participate in peacekeeping forces after the ceasefire in the Ukraine war. In response, Macron hinted at the possibility of deploying peacekeeping forces in Ukraine, stating in a meeting with UK Prime Minister Keir Starmer on the 10th, "We have plans ready to enter within hours after the ceasefire."

In the announcement on the 13th, Macron stated, "We have formed a coalition of willing nations to sustainably ensure the peace needed on our continent with our British partners. The operational headquarters of this coalition is established in Paris," and emphasized, "France will play a leading role as a key nation in future operations."pjw@fnnews.com Jongwon Park, Reporter