Defense spending proposal under review

Japan is considering doubling its defense spending over the next five years, according to reports. The proposed increase would allocate between 70,000 and 80,000 billion yen (395 to 451 billion euros) for the five-year period starting in April 2027, which would be approximately 1.8 times the current five-year defense budget of 43,000 billion yen.

Prime Minister's stance on military growth

Prime Minister Sanae Takaichi has expressed willingness to strengthen Japan's military capabilities, according to two sources close to the issue. The Japanese Ministry of Defense has stated it currently has no comment to make on the matter.

Focus on drones and missile development

The proposed increase in defense spending would be used to fund the purchase of a significant number of drones, as well as to develop long-range domestically produced missiles, according to a source who spoke to Reuters. Japan aims to focus its defense strategy on intercepting long-range attacks through the deployment of drones, drawing inspiration from new combat methods observed in conflicts in Ukraine and Iran.

Prioritizing modern defense technologies

The Ministry of Defense has prioritized budget allocations for drones, artificial intelligence, and space technologies to adapt to new forms of warfare. These areas are seen as critical for maintaining a competitive edge in modern military operations.

Yen depreciation impacts defense costs

Since the end of 2021, the yen has lost more than 37% against the dollar and approximately 35% against the euro, which has increased the cost of defense equipment acquisitions. A source told Reuters that the depreciation of the yen had increased the cost of defense equipment acquisitions.