"This is a crucial signal to our allies and Russia," Dutch Defense Minister Kajsa Ollongren said.
"Our military personnel make a decisive contribution here to deterrence and defense. Together, we ensure the security of Europe."
The Netherlands has been part of this program since 2017, and its participation was already extended in 2021.
The renewal decision was made because "the Russian threat has increased even further since then," the Dutch Defense Ministry said.
Germany, Belgium, Norway, and Czechia also participate in the mission.
NATO's Enhanced Forward Presence (EFP) is NATO's reinforced battalion-sized tactical groups in Eastern European countries.
The program has been in operation since 2016 in Bulgaria, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, and Slovakia.