In line with the current Resolution on the overall long-term programme for the development and equipping of the Slovenian Armed Forces until 2040 and the Medium-Term Defence Programme 2023-2028, a gradual increase in the volume of defence expenditures (DE) is foreseen, with the fundamental objective of reaching 2% of GDP by 2030 at the latest, which will also help us to fulfil our NATO commitments.

Based on current spending and economic growth, the estimated outturn for 2024 implies defence expenditure of 1.35% of GDP (1.32% of GDP in 2023). Continued growth in defence expenditure is also foreseen in 2025-2026. Based on the adopted budgets for 2025 and 2026 and on the UMAR Autumn 2024 Economic Forecast, the defence expenditure of the RS is estimated at 1.53% of GDP in 2025 and 1.60% of GDP in 2026. The majority of the funds will be allocated to military defence, with the remainder going to protection against natural and other disasters and to the management of the defence system and crisis management.

Investments in the modernisation and development of the SAF will increase the country's defence capability and maintain the planned level of readiness of the SAF, increase its resilience to new security challenges and maintain our credibility as a NATO and EU member state in an increasingly uncertain international defence and security environment. The Ministry of Defence, under the mandate of the current Government, has consistently pursued the objective of dual purpose use of acquired military equipment in its modernisation efforts. One of the most important objectives of the Ministry continues to be the participation of the Slovenian Armed Forces in the protection and rescue efforts during natural and other disasters, as well as the provision of support to other state bodies. These priorities are also reflected in planned infrastructure projects, such as the construction of a modern national emergency centre, which would also function as a military hospital integrated into the public health system. The growth of the defence budget also provides opportunities to support research activities in the development of military technologies with high added value, with the involvement of Slovenian companies grouped in the defence industry cluster. Research, development and innovation has been one of the most neglected or under-resourced areas in defence over the past decade, although it is crucial for the development and modernisation of the defence system

The adopted financial plans of the Ministry of Defence for 2025 and 2026, taking into account other needs in the country and adjusting the acquisition dynamics over time, can ensure a gradual increase in defence expenditure, in line with the commitments given by NATO Member States. The planned resources will continue to allow for the accelerated development of key areas such as the modernisation of the SAF and the protection and rescue system, the acquisition of dual-use military equipment, the development of the SAF's human resources and the provision of adequate manpower, military infrastructure and investments in research and development, military mobility and the strengthening of civil defence through the construction of a modern national cyber centre.

In addition to the defence budget, the Ministry's financial plan also includes, according to the uniform NATO methodology, funds for military pensions and the funds of the Government Office of the Republic of Slovenia for the Protection of Classified Information. However, it does not include funds earmarked for the protection against natural and other disasters and funds related to the payment of transfers based on war legislation and the maintenance of war graves.