New Zealand’s Conservative Government to Cut Military Spending Despite Challenges
In a surprising move, New Zealand’s conservative government has announced plans to cut military spending by 6.6%, despite the armed forces facing challenges such as ageing equipment, a shortage of manpower, and aspirations for a greater regional role.
According to data provided by the defense minister’s office to Reuters, proposed defense spending will decrease to NZ$4.95 billion ($3.03 billion) for the year ending in June 2025, down from NZ$5.3 billion in the current year. This reduction will bring New Zealand’s defense spending to 0.9% of GDP, down from 1% in the current year.
The decision to cut military spending comes at a time when the government is facing pressure to address the issues of old equipment and a lack of personnel within the armed forces. Additionally, the government has expressed a desire to enhance the country’s defense capabilities and take on more regional and global missions, including a potential bid to join the AUKUS defense pact.
Despite Defense Minister Judith Collins’ commitment to supporting defense, the cuts put New Zealand at odds with its traditional partners, such as Australia and Japan, who are increasing their defense spending in response to China’s growing military presence in the region.
Experts warn that New Zealand’s lagging military spending and capabilities could hinder its chances of joining the technology-focused part of the AUKUS defense pact. Diplomatic sources suggest that prospective joiners need to bring money, technology, or industrial capacity to the table to justify their inclusion in the pact.
As New Zealand grapples with these challenges, the government faces tough decisions on how to balance its budget while ensuring the country’s defense capabilities remain strong in an increasingly uncertain global security environment.