Czech Republic may postpone purchase of Leopard 2A8 tanks due to budgetary problems
The Czech Ministry of Defence is considering postponing the purchase of Leopard 2A8 tanks from Germany. This decision is due to financial pressures caused by the reduction of the defence budget for 2025 and lower than expected government revenues.
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In November 2024, the General Staff of the Czech Army recommended postponing the procurement programme, despite the fact that the project had already been approved by the government and was part of strategic programmes.
The plan envisages the purchase of 77 vehicles, including up to 58 Leopard 2A8 main battle tanks and up to 19 support vehicles. The initial cost of the project was estimated at CZK 39.8 billion (EUR 1.64 billion), but it could rise to more than CZK 50 billion (EUR 2.06 billion), putting other military programmes at risk.
Previously, the Czech Republic worked closely with the German Ministry of Defence on the deal and modernised its armoured fleet by purchasing older Leopard 2A4 tanks. In early December 2024, the Czech government ordered a third batch of 14 Leopard 2A4 tanks, bringing the total number of these vehicles to 42 by 2026.
In 2024, for the first time in 20 years, the Czech Republic spent more than 2% of GDP on defence, allocating CZK 177.1 billion (EUR 7.31 billion). Of this amount, the Ministry of Defence received CZK 166.8 billion (EUR 6.89 billion), which was significantly higher than in 2023.
However, in 2025, the defence budget is expected to be reduced to CZK 166 billion (EUR 6.85 billion), with the Ministry of Defence likely to be allocated less than CZK 160 billion (EUR 6.6 billion). This is down from the initially planned CZK 169 billion (EUR 6.98 billion).
Source: Defence Industry Europe
