Canada seeks broader coalition for $134 billion defence bank

The Defence, Security and Resilience Bank (DSRB) aims to unlock up to £100 billion in low-interest financing to bolster allied military capabilities and assist small and medium-sized enterprises in scaling production. While the project has secured a core group of supporters, including a notable contribution from Luxembourg, officials are pushing for a wider roster of participants to solidify the bank's standing.

Negotiators are working to secure a triple-A credit rating, a benchmark essential for providing affordable loans to nations and firms currently priced out of private capital markets. Beyond direct lending, the DSRB intends to offer loan guarantees to private institutions to incentivize investment in the defence sector. Despite the pressure to unveil the project during the ongoing NATO summit in Ankara, the Canadian delegation remains focused on expanding the initial base of support to ensure the bank’s long-term viability.