“We would be naive to think that Europe does not need the United States. We do,” said Šakalienė. “But at the same time, we need Europe to grow stronger. Balancing means supporting our national and European defense industries while also procuring American weapons.”
Šakalienė underlined that security, not manufacturer origins, would drive Lithuania’s defense strategy. “The priority is our ability to defend ourselves. Those who can provide weapons that meet our needs and deliver them quickly will be the most desirable on the market,” she said.
A Country on the Frontlines
Sharing a border with Russia's Kaliningrad exclave, Lithuania has long warned of the potential for Russian President Vladimir Putin to escalate beyond Ukraine. The Baltic nation has responded by significantly increasing its defense budget and reinforcing its borders with mines and anti-tank barriers.
In 2025, Lithuania’s military spending is expected to reach 4% of GDP—double NATO’s current target. This figure is projected to rise to 6% by 2030. Vilnius is also working to meet NATO’s updated capability goals, which require it to field a national division by the end of the decade.
Lithuania currently hosts a U.S. battalion and anticipates the arrival of a German brigade as part of NATO’s Enhanced Forward Presence. The country’s military acquisitions span multiple nations, including German Leopard tanks, French Caesar self-propelled howitzers, Norwegian Advanced Surface-to-Air Missile Systems (NASAMS), and American High Mobility Artillery Rocket Systems (HIMARS).
“No Cuts to Welfare”
Šakalienė stressed that the dramatic increase in defense spending would not come at the expense of social programs. “Taking austerity measures to cut education, health care, and social welfare to fund defense is not a sustainable solution,” she argued.
Instead, the government plans to combine national resources with EU financial instruments. “Of course, [the increase] is coming from our budget. But part of it will have to come through European funding mechanisms,” Šakalienė said.
Lithuania’s president, Gitanas Nausėda, has estimated that achieving the 2030 defense targets will require an additional €12 billion to €13 billion. In 2024, the country allocated €2.1 billion to defense.
EU Funding Options
Šakalienė called for swift action to secure EU funds, arguing that Europe cannot wait for the next multi-year EU budget set for 2027. She proposed alternatives such as defense bonds and reallocating funds from programs like NextGenerationEU and the SURE initiative.
“We all understand that without creating a European instrument for quick investments into NATO’s external borders, this is not going to work,” she said.These funding strategies are expected to be a key topic at the EU leaders’ informal defense-focused meeting on February 3, where Nausėda will push for solutions.
As Lithuania continues to prepare for the challenges posed by its geographical proximity to Russia, Šakalienė’s call for balanced arms purchases and innovative funding solutions underscores the nation’s commitment to both its own security and the collective defense of Europe.