National Defence

The Department of National Defence (DND) and the Canadian Armed Forces (CAF) are responsible for ensuring Canada's security and defence through military operations, infrastructure management, and personnel support. Established in 1923 under the National Defence Act, DND oversees the defence budget, military procurement, and readiness planning, while the CAF executes domestic and international operations. The department provides strategic defence policy guidance and works with international allies, including NATO and NORAD, to ensure national security. DND also administers military health services, housing programs, and recruitment initiatives to support its personnel.

Data updated March 21, 2025

In FY 2024,

$34.5B

was spent by the Department of National Defence

In FY 2024,

6.7%

of federal spending was by the Department of National Defence

The Department of National Defence spent $34.5 billion in fiscal year (FY) 2024. This represented 6.7% of the $513.9 billion in total federal spending. DND ranked among the top federal departments in expenditures, largely driven by personnel costs, military procurement, and operational readiness efforts.

Federal spending may shift over time due to geopolitical tensions, defence modernization needs, and emerging threats such as cyber warfare. Since 1995, overall federal spending has risen 74.9%, while Department of National Defence spending has increased 59.9%.

DND's spending grew less than overall spending, meaning its share of the federal budget decreased. In 2024, the department accounted for 6.7% of all federal spending, 0.6 percentage points lower than in 1995.

National Defence's share of federal spending in FY 2024 was lower than in FY 1995

Percentage of federal budget dedicated to Defence, FYs 1995-2024

Major legislation, shifts in international security dynamics, and acute events such as Russia's invasion of Ukraine or Arctic sovereignty disputes can influence military spending.

How did the Department of National Defence spend its budget in 2024?

Most federal spending can be categorized as direct or indirect. Direct spending refers to money the federal government spends on budget items such as federal programs, employee salaries, and debt interest. Indirect spending refers to federal transfers to other levels of government.

Federal departments often include additional agencies, commands, and operational divisions. In FY 2024, the largest spending entities within DND were the Canadian Army, the Royal Canadian Navy, and the Royal Canadian Air Force, accounting for the bulk of military expenditures.

National Defence, Spending by Entity, FY 2024

Department of National Defence

Communications and Security Establishment

Military Grievances External Review Committee

Military Police Complaints Commission

$33.47B

$1.01B

$10M

$10M

Who leads the Department of National Defence?

The Department of National Defence is led by the Minister of National Defence, who is appointed by the Governor General on the advice of the Prime Minister. The minister is responsible for overseeing national defense policy, military operations, and procurement.

These Ministers are some of the cabinet members who serve at the Prime Minister's discretion. Their tenure typically ends when they resign, are replaced, or when a new Prime Minister takes office and appoints a new cabinet. Outgoing ministers remain in their roles until their successors are sworn in.