Today, Sweden spends SEK 138 billion on the repository, which corresponds to 2.4 percent of GDP.
As a result of the deteriorating security situation, discussions are now being held about increases in the appropriation. Within NATO, it is talked about that the goal should be increased to 3.5 percent of GDP, which would mean an additional SEK 65 billion from the Swedish Treasury.
Finance Minister Elisabeth Svantesson (M) believes that Sweden has good conditions because of its strong government finances.
– Both me and finance ministers before me have thought it was important to order and find out, because in difficult times we can use that strength. We are much more prepared than other countries.
Does not exclude loans
In SVT’s Agenda, Elisabeth Svantesson says she does not exclude loans to quickly strengthen the defense.
– One of many alternatives to discuss is whether we will borrow for a few years to quickly get to a new level, she says and continues:
– I don’t think you should exclude it. But it must be temporary, otherwise we have a debt construction in the long term that we cannot do.
On the other hand, financing the renovation with increased taxes is not a Svantesson advocating. Instead, she presses increased growth, reducing unemployment and re -prioritization in state expenditure.
– Raising taxes is not on my favorite list, because there is a risk that you reduce the pressure on growth and competitiveness, she says.
The Chairman of the Fiscal Council Lars Heikensten is critical to further pushing the resources to welfare. Instead, he proposes both tax increases and expenditure reductions to cope with the future costs of the defense. An example he addresses is a property tax.
– I am not very fond of tax increases, but I can conclude that the socio -economic costs of a property tax are not very high, when compared with taxes on work or capital, says Lars Heikensten.
He also skepticals to borrow money to the defense.
– You can borrow a little on the margin, but then it is important that we agree on it. It will be cheaper for us who live now – but is it fair? Coming generations will have to pay, he says.
See the entire interview with Finance Minister Elisabeth Svantesson in SVT Agenda.