This since the government has increased the return requirement on the state-owned Fortifikationsverket, which owns and manages Sweden's defense properties. This year, the return requirement is 25 percent higher than last year.
The state-owned Defense Forces, which are financed through the state budget, rent approximately three-quarters of the property portfolio owned by Fortifikationsverket.
However, from the Defense Forces' perspective, there is no stress, thanks to budget increases.
We pay approximately four billion kronor per year in rent to Fortifikationsverket, out of 119 billion that is our budget this year. The financing of the property portfolio is not a "make or break" when it comes to defense financing, says Major General Michael Cherinet, head of the implementation unit at the defense headquarters, to DN.
