Canadian Prime Minister Mark Carney announced at the NATO Heads of State and Government Summit held in Ankara on July 7-8 that nine countries, including Turkey, supported the establishment of the Defense, Security and Resilience Bank (DSRB).
Professor Arif Bağbaşlıoğlu, Head of the International Relations Department at İzmir Democracy University, assessed the bank's potential contributions to NATO's security architecture.
What is the DSRB's purpose?
The DSRB, which is planned to be based in Canada and aims to become operational in 2027, is not an official NATO body. However, it is seen as a significant initiative for strengthening defense capacity, protecting critical infrastructure, and financing defense industry production—areas the alliance has prioritized in recent years.
According to Professor Bağbaşlıoğlu, the bank aims to provide long-term, low-cost financing for the defense and security investments of NATO allies and partner countries. The DSRB seeks to help small and medium-sized enterprises and member governments close critical financing gaps, while also planning to attract private capital to the defense and security market.
The process leading to the bank's creation
The idea for the DSRB was put forward by Rob Murray, who previously led the creation of NATO's Innovation Fund and the DIANA program. Work began in December 2025, continued in Montreal in March 2026 with representatives from 18 countries, and in April 2026, agreement was reached on the founding treaty articles.
The bank's foundations rest on NATO's €1 billion Innovation Fund and the DIANA program, established at the 2021 Brussels Summit. At the 2025 Hague Summit, member countries set a target of allocating 5% of GDP to defense by 2035. At the Ankara Summit, it was emphasized that to achieve this target, defense spending should be measured not only by budget size but also by real production capacity and resilience indicators.
Turkey's position
Professor Bağbaşlıoğlu stated that with its defense industry exports exceeding $10 billion and five Turkish companies on SIPRI's list of the top 100 defense firms, Turkey could play a critical role in helping the DSRB achieve its goals.
Uncertainties about the future
However, it is noteworthy that apart from Canada, no other G7 country is among the bank's founding members. The initial absence of major economies such as Germany, France, and the United Kingdom raises questions about the DSRB's capital size and effectiveness.
Professor Bağbaşlıoğlu stated that it is not yet clear whether the DSRB will be a complementary structure to the existing financial architecture or an alternative one, but that participation is being discussed positively, especially in the United Kingdom. He emphasized that the bank's success depends on securing sufficient capital, making investment decisions based on transparent and technical criteria, and working in harmony with other institutions.
In conclusion, the DSRB is assessed to have the potential to shape NATO's security economy and redefine burden-sharing through joint investment mechanisms.
