“With the new development plan, we will have a strengthened deterrence together with our allies by 2029, and a modern Defence Forces which, supported by the defence industry, can influence the adversary before they reach Estonian territory,” said Pevkur. He emphasised that up to €150 million will be allocated to the acquisition of modern capabilities, including drones.
The Ministry’s plan devotes a quarter of investments to ammunition, 37% to procurement, and 14% to personnel costs, alongside contributions to infrastructure and intelligence development. Defence spending is set to reach 5.42% of GDP by 2029, reflecting a substantial increase from previous years.
The plan significantly expands drone-related capabilities, with new procurements of attack, reconnaissance, and surveillance drones and the integration of unmanned aerial systems into units from battalion to division level. Estonia has already acquired platforms such as Blue Spear anti-ship missiles and will continue expanding its drone arsenal.
In land defence, key priorities include strengthening firepower with long-range strike capabilities, developing deep reconnaissance through the formation of an ISTAR battalion, and enhancing electronic warfare. Additional investments include the creation of an artillery regiment, improved pioneer engineering units, and the replacement of CV90 combat vehicles in the Scouts Battalion.
Air defence will see the formation of a dedicated air defence brigade, including short- and medium-range capabilities such as Mistral, Piorun, and IRIS-T systems, with additional procurements scheduled for 2026–2027. A market survey for ballistic missile defence capabilities will be conducted in 2025.
The Navy will renovate its minehunters, acquire two new patrol boats and one new vessel, and expand maritime surveillance. Additional naval investments include the procurement of naval mines and more Blue Spear missile systems.
The Estonian Defence League’s funding will rise from €240 million (2025–2028) to over €314 million (2026–2029), supporting infrastructure upgrades in counties such as Järva, Põlva, Võru, and Rapla. More than 10 shooting ranges will be improved, and new infrastructure for units in Põlva and Võrumaa will be built.
Infrastructure investment will total €470 million, with projects including the development of the Baltic Defence Zone, the Nursipalu training area, a new complex in Narva, and the forward command post for a corps-level unit. The Reedo barracks will also see continued development.
Personnel reforms will increase the number of active service members and technical specialists, raise salaries and allowances, and improve support for reservists and conscripts. Pevkur noted that the Defence Forces will become “more modern, with better situational awareness, weaponry, training, and ammunition.”
Estonia also plans to invest €50 million in defence industry and innovation, including the establishment of a Future Capabilities and Innovation Command and a new defence industry park in Pärnu County. Pevkur added, “It is important to emphasise that preparations for acquiring the necessary capabilities began immediately. A detailed procurement plan has been developed, and many of the projects are already underway.”
The development plan is guided by Estonia’s National Defence Development Plan, the military advice of the Commander of the Defence Forces, and NATO capability targets. It aims to ensure that Estonia’s defence posture remains credible, technologically advanced, and closely aligned with its allies.