Türkiye Raises 2027 Arms Budget by 229%

Türkiye plans to increase its 2027 allocation for weapons, ammunition, weapons systems and other defence equipment by 229%, Vice President Cevdet Yılmaz said Wednesday as he presented the government’s budget proposal to Parliament’s Planning and Budget Commission. Total defence and security allocations would reach TL 3.45 trillion ($69.64 billion), including funds for the Defense Industry Support Fund.

The proposed spending would make up 12.7% of the central government budget. Government spending is projected at TL 27.2 trillion in 2027, while revenue is forecast at about TL 23.4 trillion. The procurement increase sits within a wider budget plan covering inflation, economic growth, employment and exports.

Defence and Security Spending

The 229% increase covers funds for weapons, ammunition, weapons systems and other defence equipment. The proposal also includes money for the Defense Industry Support Fund in its overall defence and security total. Yılmaz presented the figures to lawmakers Wednesday as part of the government’s 2027 budget plan.

The proposal sets total defence and security allocations at TL 3.45 trillion ($69.64 billion), or 12.7% of central government spending. It doesn't detail individual procurement programs or say which weapons or systems the extra funding would buy.

Yılmaz called the proposal a “budget of resilience, prosperity and transformation” and said it would strengthen the economy against external shocks. He described price stability and stronger, sustainable macroeconomic balances as preconditions for lasting prosperity. Supporting disinflation, he said, was one of the budget’s main pillars.

Economic Targets and Budget Outlook

The government forecasts revenue of about TL 23.4 trillion in 2027, up 37.5% from the previous year. Tax revenue is expected to rise 36.5% to TL 19.9 trillion. The government aims to bring consumer price inflation to 21% in 2027; annual inflation fell below 30% in September, and officials forecast it will end 2026 at 28.4%.

Yılmaz said Türkiye’s economy had grown for 24 consecutive quarters and that growth of 5.2% exceeded the world average. The government projects growth of 4.2% in 2027 and 4.6% in 2028, aiming to reach 5% by the end of the Medium-Term Program period. It plans productivity-focused policies to lift potential growth by 0.5 percentage points.

National income is expected to exceed $1.8 trillion in 2026, with income per person above $20,000. The government aims to pass $2 trillion during the program period. It also plans to create an average of 711,000 additional jobs annually through 2029 and bring unemployment into single digits. Officials forecast unemployment at 8% in 2027, compared with a projected 8.1% in 2026.

Goods exports are targeted at $292 billion in 2027. The current account deficit is expected to equal 1.9% of national income, below its historical average. Yılmaz said global trade-volume growth was forecast to slow in 2028-2029. The government also plans to expand housing supply through social-housing and rental social-housing projects.