Nine countries have formally committed to backing a new multilateral defence bank, Canada announced, marking what could become the largest institutional shake-up in how NATO allies finance their militaries since the alliance was founded in 1949.
The Defence, Security and Resilience Bank, or DSRB, is targeting up to £100 billion ($133 billion) in capital. To put that in perspective, that’s roughly the entire GDP of Morocco, earmarked specifically for making it cheaper and easier for allied governments to spend on guns, cyber defenses, and supply chain resilience.
What the DSRB actually is
The DSRB is designed to be a dedicated multilateral lender that issues AAA-rated bonds and offers guarantees to reduce the risk that commercial banks take on when lending to defence contractors and governments.
Canada is hosting the institution, a decision finalized in April 2026 following what’s been described as an extensive selection process. Luxembourg has been confirmed as the European headquarters, giving the bank a footprint on both sides of the Atlantic.
