Finnish Defence Forces to launch army materiel procurement projects for 2030s

Finnish Defence Forces to launch army materiel procurement projects for 2030s

The 2026 budget proposal for the branch of government of the Finnish Ministry of Defence totals EUR 6.3 billion, representing 2.5 per cent of the GDP forecast for 2026.

The budget proposal for the Ministry of Defence's branch of government allocates approximately EUR 1.5 billion to defence materiel procurement in 2026 and EUR 1.4 billion to the procurement of multi-role fighters. The Finnish Defence Forces' operating expenses total EUR 2.6 million. Preparations are being made to continue materiel and training support to Ukraine in 2026. The integration of Finland's defence into NATO's collective defence will continue.

In line with the policies outlined by the Government in spring 2025, the Finnish Defence Forces will frontload the army materiel projects planned for the 2030s.

Minister of Defence Antti Häkkänen stresses the importance of the budget proposal for reaching a new level of defence investment and reminds of the wider social significance of the planned procurements. "We are now taking a step towards a significantly stronger defence capability. In the next few years, we will be completing our strategic capability programmes in air and maritime defence, while at the same time launching a massive modernisation process of land defence. These procurements, amounting to billions of euros, not only strengthen our ability to keep our country safe but also create new jobs and growth across Finland," Häkkänen said.

The 2026 budget proposal contains two new defence materiel procurement authorities: the authority to develop the Finnish Defence Forces' materiel in 2026, amounting to EUR 4 billion, and the authority to develop the Finnish Defence Forces' joint weapons systems in 2026, amounting to EUR 2 billion. The largest element of the first authority is the army mobility programme, while the latter authority is used to procure ammunition. The procurement authorities permit the conclusion of procurement contracts in 2026, while their appropriations for payments are mainly scheduled for 2029-2036.

Appropriations for supporting the activities of national defence and veteran organisations will increase by EUR 1 million to around EUR 10 million.

In accordance with the established practice, the price- and cost-level adjustments allocated to the operating expenses of the Finnish Defence Forces, to defence materiel procurement and to military crisis management equipment and administrative expenses amount to approximately EUR 66 million in the budget proposal for 2026.

The Government has decided that the branch of government of the Ministry of Defence should decrease its operating expenses by EUR 29 million. The Finnish Defence Forces will start implementing this savings target in 2026.

According to the 2026 budget proposal, the Ministry of Defence's branch of government is estimated to accrue approximately EUR 291 million in revenues. This estimate includes EUR 208 million in reimbursements from the European Peace Facility in 2026 for materiel delivered to Ukraine.

Inquiries: Heikki Kuru, Senior Specialist, Ministry of Defence, tel. +358 295 140 007.

Return to headlines