The Japanese government has adopted a draft fiscal 2026 defence budget of 9,035.3 billion yen, a 3.8 percent increase from the previous year, marking the 12th consecutive annual record high amid regional security threats from China and North Korea.
Japan’s cabinet approved the draft fiscal 2026 defence budget on Friday in Tokyo, setting it at a record 9,035.3 billion yen, up 3.8 percent from the fiscal 2025 initial budget, according to Nippon.com reporting Jiji Press.
Government Sets Highest Defence Spending in History
The budget figure includes outlays related to the realignment of U.S. forces in Japan and expenses to establish the Shield multilayered coastal defence system, as reported by Nippon.com citing Jiji Press. Under the Shield system, Japan plans to mobilise numerous drones and other devices to counter coastal invasions, with 100.1 billion yen allocated to acquire several thousand drones of 10 types by the end of fiscal 2027. The government will also conduct test flights for the U.S.-made MQ-9B SeaGuardian unmanned aerial vehicle at a cost of 1.1 billion yen to assess its surveillance and tracking capabilities, apparently targeting threats from Chinese unmanned aircraft, according to the same report. Defence Blog states the draft exceeds 9 trillion yen, equivalent to about 58 billion dollars, representing a 9.4 percent increase from the current fiscal year.
As reported by Jiji Press for Nippon.com, the budget also covers improvements to working conditions for Self-Defence Forces personnel.
Regional Threats and Policy Shifts Drive Increases
The spending hike responds to continuing military buildups by China and North Korea, according to Nippon.com reporting Jiji Press. People’s Daily Online notes Japan’s Diet recently approved a fiscal 2025 supplementary budget adding 1.1 trillion yen, or 7.03 billion dollars, bringing the total annual defence budget to around 11 trillion yen and raising concerns domestically and internationally.
Historical Context of Consecutive Budget Rises
Japan has increased its defence budget for 13 consecutive years, with a roughly 60 percent jump over the past five years, as stated by People’s Daily Online. The publication highlights Japan’s per capita defence spending and expenditure per defence personnel as three times and more than twice that of China during fiscal 2025, respectively, with the latest rise pushing spending to 2 percent of GDP. Nippon.com confirms the fiscal 2026 figure as the 12th straight record high.
Domestic Reactions Highlight Public Concerns
People’s Daily Online reports significant public opposition in Japan, with protests across the country against the militarisation agenda, as citizens argue tax contributions should prioritise livelihoods, social welfare, education, healthcare, and infrastructure over military expansion. The outlet states right-wing politicians justify the increases, but widespread anxiety persists amid rising social security costs and inflation, potentially financed through higher taxes or cuts to public services. According to the same source, Japan’s policy revamps include easing restrictions on collective self-defence, developing strike capabilities against enemy bases, revising arms export principles, strengthening extended deterrence cooperation, and attempting to alter its three non-nuclear principles, marking a shift from historical commitments.
The Japanese government’s draft fiscal 2026 defence budget of 9,035.3 billion yen, approved on Friday, incorporates investments in drone-based coastal defences, U.S. force realignments, and unmanned aerial vehicle testing, while facing domestic protests over funding priorities amid ongoing regional tensions.
