Estonian PM Urges Europe to Invest in Defence Now, Avoid Repeating Interwar Mistake

Estonia’s Prime Minister, Kaja Kallas, warns that Europe must increase defence investments to avoid the mistakes made by her country before World War II. The remarks were made ahead of an EU leaders meeting where support for Ukraine and European defence dominate the agenda. Kallas suggested that if Ukraine were to lose the war, European countries could become Russia’s next targets. She urged the Ramstein coalition, including NATO and the EU along with 15 other global states, to commit 0.25% of their GDP towards military aid for Ukraine.

Highlighting Estonia’s history, Kallas refers to the year 1933 when defence spending was at a record low due to peacetime. By 1938, when war was imminent, investment in defence increased by 100%. Unfortunately, Kallas says, it was too late. The Prime Minister notes that small countries like Estonia are particularly at risk as war inevitably brings destruction and human suffering.

Kallas emphasises that it is incumbent upon leaders to explain to their citizens the importance of increased defence spending, clarifying that it does not reflect a pro-war position. The necessity of reinforcing defence capabilities becomes apparent when it’s already too late, she warns. Kallas advocates for a sustainable peace, adding that peace on Russia’s terms would not be sustainable.

Furthermore, Kallas claims that aggressors are motivated by perceived weakness. Hence, she urges both Europe and NATO to enhance their defensive strength. The EU is currently implementing a major defence policy overhaul, including joint procurement to boost defence industrial capacity. However, many EU states have depleted their stocks to aid Ukraine, and the bloc’s ammunition production failed to reach its target to provide Ukraine with one million shells by March.

Finally, the issue of financing these defence investments is causing divisions among EU leaders. Kallas favours the use of eurobonds to fund defence projects and has previously suggested that these could amount to €100 billion. The Estonian Prime Minister also supports revising the mandate of the European Investment Bank to allow it to finance defence projects. In addition, she advocates for using the profits from frozen Russian assets for Ukraine’s defense and closing loopholes allowing for sanctions circumvention.