In 2024, defense spending by European NATO members will reach 2% of GDP ($470B) for the first time. However, to ensure effective defense and maintain its deterrence policy, NATO countries must increase their military budgets to about 4% of GDP. If the G7 countries want to reach this level, they will need more than $10T in the next decade, writes Bloomberg.
Only the Russian Federation, which is waging a war, can afford such military expenditures. In 2023, it spent 4.4% of GDP on defense and security, and in the 2024 budget, more than ₽10.7T (about 6% of GDP) has been earmarked for these purposes.
Among NATO countries, Poland spent the most in 2023 (3.9%); for the US, this figure was 3.3%; South Korea spent 2.8%, and Iran, which provides the Russian Federation with drones, 2.2%. China’s spending was 1.3% of GDP, but this year it will grow to a five-year high of 7.2%.