Chile to double defense spending and launch major military modernization plan
Chile announced a near-doubling of its defence budget and a programme to replace aircraft, upgrade tanks and build new southern facilities, with the Defence Ministry exempted from a 3% fiscal cut.
Chile's Defence Ministry unveiled a comprehensive modernisation plan that will nearly double the country's defence investment, allowing full financing of strategic capabilities for the first time. The programme includes replacing F-5 fighters and C-130 transports, acquiring long-range patrol aircraft and Antarctic-capable planes, and upgrading Leopard 1 tanks in the Magallanes region. New infrastructure such as a naval pier in Punta Arenas and a military base on Tierra del Fuego will be constructed.
The ministry was exempted from a 3% fiscal cut, citing the need to protect national security and sovereignty. The announcement comes amid heightened tensions with Argentina over the Strait of Magellan and parallels Peru's planned 283% spend rise in 2027. Domestic debate has intensified over Chile's involvement in the Shield of the Americas coalition, with former presidents and officials questioning its impact on sovereignty.
Why it matters
The boost in Chile's defence budget reshapes regional security dynamics and sparks debate over foreign military cooperation.
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