CSN News – Spanish PM seeks EU allies to ease the burden of defence spending

Spain’s PM Pedro Sánchez has scheduled a meeting with political representatives of all parties in congress (except for far-right Vox, which he has deliberately left out, and Sumar, which he considers informed) at his residence – the Moncloa Palace – on Thursday 13 March, with the aim to discuss the commitment to increasing defence spending to 2% of GDP. Although Sánchez hasn’t clarified how the goal will be achieved, he is certain that the increase will take place.

The president, in a Wednesday meeting with Finland PM PetteriOrpo, stated that Spain “is ready” to achieve this objective without setting a date. He assured the Spanish people that any decision would be made after the initiative is communicated.

Sánchez has asked the EU executive to clarify definitively what financial instruments and measures the states will be able to count on to face the rearmament that the international context demands. He is aware of the opposition that an increase in military spending elicits from many of his friends and a substantial section of the public. He wants to make sure that this has a minimal impact on the budget.

In light of the current global climate, the government hopes that the EU will provide direct non-repayable transfer like the ones agreed upon during the pandemic. According to Sánchez, the main beneficiaries of the aid would be the Nordic and Baltic countries, but not exclusively. Orpo supported Sánchez’s demand.

Carlos Cuerpo, the Spanish Economy Minister, also said that it is important to use a “broad definition” when determining which items are eligible for defence. Spain, Poland, France and others are counting upon the Commission’s willingness to freeze fiscal regulations and not penalise overly large deficits. In addition, Sánchez called for “a 360-degree approach that covers everything from open conflicts to cyber-attacks, energy crises and climate catastrophes”.

Anti-war Front

If this approach is approved, reaching 2% of Spanish GDP (from the 1.28% recorded by Nato) will be a less arduous task, which will also potentially appease some of Sánchez’s partners, who do not trust that social spending will not be affected. However, Sánchez is facing clear opposition from other Spanish parties, representatives of which are meeting with the president today, to discuss the increase in spending.

The decision to increase defense spending was met with skepticism in a discussion on Gaza at a congress on Tuesday, 11 March. Despite the resistance, foreign minister José Manuel Albares called for unity in the face of Europe’s “existential crisis” and the pressure that the relationship between the US and Russia poses on a global scale.

The conservative party of Spain (PP), while sharing the same position as the PSOE and Sanchez on this issue, has said that it won’t give its support unconditionally, even going so far as to accuse Sanchez of trying “to cheat” and “deceive his political partners as well as Nato”.

Nato has defined clearly what it means by defence spending. Its next summit will be held in The Hague in June.