U.S. President Donald Trump’s proposed plans for securing peace in Ukraine could cost the largest European countries an additional $3.1 trillion over the next 10 years, according to calculations by Bloomberg Economics.
Trump insists that the European Union should bear the primary responsibility for any peace settlement in Ukraine, particularly for post-war reconstruction efforts.
“According to Bloomberg Economics, the defense of Ukraine and the expansion of its own armed forces could cost the largest countries on the continent an additional $3.1 trillion over the next 10 years,” the agency’s publication states.
Specifically, the reconstruction of Ukraine’s army is estimated to cost about $175 billion over the next decade, depending on the condition of its forces at the time of settlement and the territory it will need to defend.
Peacekeeping forces, which would number 40,000 personnel, would cost around $30 billion over the same period. However, President Volodymyr Zelensky has stated that much more personnel may be required.
The majority of the funding would be directed towards enhancing the armed forces of EU member states, raising defense budgets to about 3.5% of GDP, as discussed at NATO headquarters in Brussels.
Additional investments would focus on artillery stocks, air defense systems, and missile defense systems. These efforts would strengthen the EU’s eastern borders, improve rapid deployment capabilities, and lead to significant growth in the European defense industry.
Bloomberg Economics adds that if this funding is raised through debt, it could add an extra $2.7 trillion to the borrowing needs of the five largest European NATO members over the next decade.
