Overview
- NATO’s latest data shows all 32 members are on track to reach the old 2% of GDP goal in 2025, with total outlays set to exceed $1.5 trillion.
- Only Poland (4.48%), Lithuania (4.0%) and Latvia (3.73%) currently clear the alliance’s new 3.5% core defense threshold.
- Allies agreed in June at The Hague to aim for 3.5% of GDP on core defense by 2035 within a broader 5% target that also covers infrastructure and cyber.
- NATO Secretary General Mark Rutte warned that higher spending must yield usable forces, saying cash alone does not provide security.
- The spending surge follows Russia’s 2022 invasion of Ukraine and sustained pressure from U.S. President Donald Trump, with more than 10 allies missing 2% as recently as last year.