Five NATO Allies Set to Exceed 3.5% GDP Defense Spending in 2025
New NATO estimates show five member nations are on track to surpass 3.5% of GDP on core defense this year, well above the alliance's 2% benchmark.
At least five NATO member countries are projected to spend more than 3.5% of their gross domestic product on core defense expenditures in 2025, according to internal alliance estimates — more than triple the longstanding baseline that most members still struggle to meet, Reuters reported Wednesday.
The figures signal a dramatic acceleration in European and allied defense investment, driven largely by the ongoing war in Ukraine and sustained pressure from Washington for NATO partners to shoulder a greater share of collective security costs. The 2% GDP threshold, once treated as an aspirational target, is increasingly seen within the alliance as a floor rather than a ceiling.
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The development marks a notable shift in NATO burden-sharing dynamics. For years, only a handful of members consistently hit the 2% mark, drawing repeated criticism from U.S. officials across administrations. The surge toward 3.5% and beyond by five nations suggests that geopolitical urgency is translating into hard budget commitments, not just political pledges.
Alliance planners and defense analysts have argued that modern threats — from large-scale conventional warfare to cyber and hybrid operations — demand spending levels that exceed what the 2% benchmark was originally designed to address. Countries posting the highest percentages are likely those on NATO's eastern flank, which face the most direct exposure to Russian military activity, though the source reporting does not name specific nations.
Continue reading at Reuters.
