NATO reports rise in European, Canadian defence spending

European members of NATO and Canada have significantly increased defence spending, up by a fifth in real terms by 2025, according to Alliance chief Mark Rutte.

The rise continues a trend that began after Russia’s invasion of Ukraine, with all countries now having reached the minimum target of two per cent of GDP.

At the same time, Rutte signalled that pressure for further increases will persist, with allies set to move towards the more ambitious five per cent of GDP by 2035. Part of the spending is expected to go towards traditional military capabilities, with the rest allocated to broader infrastructure and cyber security.

The debate over defence spending has also been sharpened by US President Donald Trump. He has repeatedly criticised European partners for low contributions and suggested that the US should not bear the brunt. Most recently, he accused them of inaction on Iran.

While some countries are already spending more than 3.5 per cent of GDP, others have only recently reached the baseline. The US, however, remains the dominant contributor.

(reuters, pir)