The Danish government has announced plans to boost defence spending for Greenland, after US President-elect Donald Trump called for it to be sold to the US.
Danish Defence Minister Troels Lund Poulsen said the package was worth at least $1.5bn (£1.2bn).
He insisted that the timing of the announcement was an “irony of fate”, after Trump called for Denmark to sell Greenland to the US, saying it was an “absolute necessity”.
In an announcement naming his ambassador to Denmark, Trump wrote that, "For purposes of National Security and Freedom throughout the World, the United States of America feels that the ownership and control of Greenland is an absolute necessity."
It comes after the president-elect suggested over the weekend that the US could retake control of the Panama Canal if something isn't done to ease rising shipping costs required for using the waterway linking the Atlantic and Pacific oceans.
He also suggested that Canada should become the 51st US state and referred to Canadian Prime Minister Justin Trudeau as "governor" of the "Great State of Canada."
Greenland, an autonomous Danish territory, is home to a large US space facility, making it strategically important for the US.
Mr Poulsen said the additional defence funding would go towards purchasing new inspection ships, two new long-range drones and upgrades to one of Greenland’s civilian airports so it can handle fighter jets.
Greenland gained home rule from Denmark in 1979 and its head of government, Múte B Egede dismissed Trump's latest calls for US control.
"Greenland is ours. We are not for sale and will never be for sale," he said in a statement. "We must not lose our years-long fight for freedom."
Trump previously cancelled a 2019 visit to Denmark after his offer to buy Greenland was rejected by Copenhagen, and ultimately came to nothing.