COVID-19 may be Australia's ‘new and invisible enemy', but other threats to national security have by no means gone away. The 2020-21 Federal Budget demonstrates a clear commitment from the Australian Government to defending against foreign and domestic threats. What does the allocation for defence in the Budget mean for Australia's security and economic recovery moving forward?
As part of Australia's COVID-19 Economic Recovery Plan, the Australian Government has been vocal about its commitment to keeping Australians safe, while at the same time protecting the nation's economic interests.
Despite pressures stemming from the COVID-19 recession, the 2020-21 Budget gives effect to the Government's plan to grow the defence budget to 2% of GDP in the 2020–21 financial year. Dr Marcus Hellyer, ASPI Senior Analyst for Defence Economics and Capability, noted recently that the continual growth of the defence budget is linked to how quickly the economy recovers from the pandemic.
