Estonia will have to borrow more to raise defence spending above 5% of GDP, Foreign Minister Margus Tsahkna stated, ERR reports. Speaking in an interview with Vikerraadio, Tsahkna said that Estonia would try to obtain as much financing as possible under the EU’s SAFE instrument. The Finance Ministry is now analysing how much SAFE funding Estonia could take and how much it would need to borrow. Tsahkna noted that SAFE allowed to borrow on better and longer terms for investments in defence and security. Raising Estonia’s defence budget from the current 3.4% to 5.4% of GDP would mean EUR 800mn in additional spending per year.
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