NATO Sets Ambitious 5% GDP Defense Spending Goal by 2035

NATO member countries have reached a consensus on a significant defense spending goal during their recent discussions. The alliance has set a target for each member nation to allocate 5% of their Gross Domestic Product (GDP) towards defense and security expenditures by the year 2035. This decision comes after overcoming initial resistance from Spanish Prime Minister Pedro Sanchez, who had previously labeled such a commitment as unreasonable and counterproductive.

Diplomatic sources confirmed that while all 32 NATO members have agreed to the principles outlined in the statement, it will only receive official sanction following approval from key leaders at the upcoming summit in The Hague, including U.S. President Donald Trump. Sanchez expressed his government’s intent not to conform to the spending increase, stating that Spain currently invests approximately 1.24% of its GDP in defense.

To address Sanchez's concerns, diplomats revised the language of the statement from "we commit" to "allies commit," allowing Spain to distance itself from the obligation. Such adjustments highlight NATO's consensus-based approach, where unanimous agreement is crucial for any formal adoption of statements. NATO officials emphasize that increased defense investments are crucial in light of rising threats from Russia and to enable European nations to assume greater responsibility for their defense as the United States redirects its military focus towards China.

Currently, NATO's standard defense spending goal stands at 2% of GDP. However, Trump has advocated for an increase to 5%, while suggesting that the U.S. target might not need to align with this figure. NATO Secretary-General Mark Rutte has suggested a phased approach, proposing that member countries incrementally increase their defense expenditure targets from 2% to 3.5%, with an additional 1.5% designated for auxiliary expenses related to military readiness and cybersecurity. The timeline for achieving this new target has been adjusted to 2035, with a review of progress planned for 2029.