Key facts
- Canada plans to announce about 10 founding nations for a global defence bank at the upcoming NATO summit.
- The proposed Defence, Security and Resilience Bank (DSRB) aims to raise up to £100 billion ($133 billion) for allied defence.
- Canada's lead negotiator Isabelle Hudon indicated initial members would likely be European.
- South Korea is in talks for potential future membership.
- The bank's success depends on securing a triple-A credit rating.
Canada is aiming to announce approximately 10 founding nations for a new global defence bank at the upcoming NATO summit in Turkey, according to Isabelle Hudon, Canada's lead negotiator for the initiative. The proposed Defence, Security and Resilience Bank (DSRB) is part of Prime Minister Mark Carney's broader vision for an alliance of "middle powers" to counter a perceived fracturing of the U.S.-led world order.
Hudon stated in an interview that the goal is to announce the list of founding members at the summit, with the bank intended to bolster the defence of allied nations by raising up to £100 billion ($133 billion) in cheap finance. She indicated that the initial group of countries would likely be European, in addition to Canada, though she cautioned that the announcement was not guaranteed and depended on final negotiations, particularly regarding capital commitments.
Despite the uncertainty, Hudon noted the project has momentum and that the intention is to launch the initiative with ready founding members, keeping membership open thereafter. The bank's ultimate success, however, remains contingent on securing the backing of nations essential for achieving a triple-A credit rating. Talks with South Korea have been productive, with a 50-50 chance of its later joining, while no other G7 nations are currently close to signing up.