EU leaders want Europe to arm itself militarily and to do so in a big way – additional defense spending of around €800 billion proposed .
Sweden’s Finance Minister Elisabeth Svantesson (M) is one of many leaders who welcome the development, saying there are many advantages to “a modern European war economy”.
During the Moderate Party’s Sweden Days, the Finance Minister shared her thoughts on how to strengthen Sweden’s defense – and how to maintain or further expand support to Ukraine.
– I realize that what I’m about to say is going to sound a bit drastic, but I envision a European war economy, Svantesson explains.
She admits that for most people the word “war economy” has a very negative connotation and brings to mind ration cards and coffee surrogates – but this time, she claims, it means something completely different.
– This is not what I am after, the modern war economy actually rests on two parts. First, a strong and growing economy – because that is a precondition for a strong defense.
“Fewer communicators – more companies”
The second part, according to Svantesson, is about having “order and clarity” in public finances while being able to prioritize money for “defense and security”.
– Now we are reprioritizing. Aid has decreased, it is still very high, but we can strengthen Sweden’s security and safety. To be specific, it’s really about fewer communicators and more companies.
The Finance Minister emphasizes that Sweden is certainly no closer to a full-scale war today than it was yesterday, but says that it is instead a matter of preparing mentally and highlighting how important it is for Sweden to carry out a military rearmament.
Wants to borrow billions
– You should feel calm, we have economic muscle and a large unit in the Swedish parliament that creates stability, they say.
Despite the “financial muscle”, Svantesson confirms that the government will still need to borrow several billions to finance the initiative.
– We will need to borrow for a few years to quickly reach the levels needed.