Numerous Ministry of Defense budget requests and item requests have been added to the FY2027 budget

The Ministry of Defense's initial budget request for fiscal year 2027, released on August 31, includes a number of additional ``requests'' that do not specify specific amounts, ahead of the revision of three security-related documents at the end of the year and a significant increase in defense spending. The budget is set at a record high of 8,890.8 billion yen, but it is expected to increase even further in the year-end budget proposal.

Item requirements are an exception allowed for policies whose future prospects are difficult to predict. The Ministry of Defense has not disclosed the number of items in the requirements, saying they have not been sorted out. Most of the new projects are subject to specific requirements.

When the three security-related documents were drawn up in 2022, exceptions were expanded to include defense spending and other budgets in the request for a budget estimate for fiscal 2023.

Why do the number of detailed requests increase in the budget request ahead of the revision of the three security documents?

In revising the three security documents, increasing defense spending will be a major focus. The government says it is unable to set a budget at this time because it coincides with the first year of the Defense Power Development Plan, which is one of the three security documents and sets out equipment and budget for the next five years.

In the 2022 revision, the Kishida administration decided to raise defense spending for fiscal 2027 to 2% of gross domestic product (GDP) (approximately 11 trillion yen). This was done keeping in mind that at the time, North Atlantic Treaty Organization (NATO) countries had a defense spending target of 2% of GDP. It included the budgets of other ministries and agencies, of which 8.9 trillion yen was earmarked for expenses for the defense capability development plan.

The Takaichi administration is expected to revise the three security documents one year early, at the end of 2026, and take steps to further increase defense spending.