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2d ago

NATO Set to Adopt 5% of GDP Defense Spending Target in June

Secretary-General Mark Rutte says the proposal splits the commitment between 3.5 percent for core military capabilities with 1.5 percent for infrastructure and cybersecurity investments

NATO Secretary General Mark Rutte arrives at the 6th European Political Community summit at Skanderbeg Square in Tirana, Albania May 16, 2025. Leon Neal/Pool via REUTERS/File Photo
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Overview

  • Member states are expected to endorse a pledge to spend 5 percent of GDP on defense at the June 24-25 summit in The Hague.
  • The new benchmark calls for 3.5 percent of GDP on hard military outlays and 1.5 percent on related areas such as logistics, infrastructure and cyber defenses.
  • The shift follows sustained pressure from U.S. President Donald Trump and growing concern over Russia’s partnerships with China, North Korea and Iran.
  • No NATO ally currently meets the 5 percent threshold, with Poland leading at roughly 4.7 percent and Lithuania and Latvia planning to reach or exceed the goal within two years.
  • Countries lagging behind, notably Canada at about 1.37 percent of GDP, face significant fiscal hurdles in aligning their budgets with the elevated target.