See which NATO countries spend less than 2 percent of their GDP on defense (2025)

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Which NATO countries are not spending 2% of GDP on defense? ›

Eight Nato members are not estimated to reach the target in 2024. They are Croatia (1.81%), Portugal (1.55%), Italy (1.49%) Canada (1.37%), Belgium (1.30%), Luxembourg (1.29%), Slovenia (1.29%) and Spain (1.28%).

Since Russia's full-scale invasion of Ukraine in February 2022, a majority of Allies have committed to investing more, and more quickly, in defence. At the 2023 Vilnius Summit, NATO Leaders agreed a new Defence Investment Pledge, making an enduring commitment to investing at least 2% of GDP annually on defence.

Number of allies meeting 2% defence spending

Currently, just over two-thirds of NATO members (23 of 32) have fulfilled the two percent commitment, and will collectively spend $1.47 trillion on defence this year. This is up from just 10 countries meeting the guideline in 2023.

The combined GDP of all 31 NATO members, alongside impending addition of Sweden as a member state, amounts to a staggering $45.93319 trillion (calculation below). Placing this figure into context, the world's GDP stands at approximately $100,562 trillion (nominal, 2022).

NATO and other European nations

The largest group of European nations not in NATO are those that profess their neutrality. Including nations such as Austria, Ireland, and Switzerland, some have military neutrality enshrined in their constitutions, or because of previous dealings with the great powers.

“At the 2023 NATO Summit in Vilnius, Allies agreed to invest at least 2% of their Gross Domestic Product (GDP) annually on defence. Canada is committed to meeting its pledges — and to doing its fair share.

Article 2. The Parties will contribute toward the further development of peaceful and friendly international relations by strengthening their free institutions, by bringing about a better understanding of the principles upon which these institutions are founded, and by promoting conditions of stability and well-being.

The United States spent $820 billion on national defense during fiscal year (FY) 2023 according to the Office of Management and Budget, which amounted to 13 percent of federal spending. Defense spending in 2023 was less than the average for the last decade, which was 15 percent of the budget.

In total, NATO countries now meet the 2 percent target, together spending 2.71 percent of their GDP on defense. This creates positive momentum and success to build on for the Washington summit, which is expected to highlight the Alliance's collective strength and focus on deeper integration with Ukraine.

Who are the 32 NATO countries? ›

The 32 current member states of NATO are Albania, Belgium, Bulgaria, Canada, Croatia, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Lithuania, Luxembourg, Montenegro, the Netherlands, North Macedonia, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain ...

The Prime Minister, Justin Trudeau, and the Minister of National Defence, Bill Blair, today released Our North, Strong and Free: A Renewed Vision for Canada's Defence and announced a new overall investment of $8.1 billion over five years and $73 billion over 20 years in defence spending to be included in the upcoming ...

The North Atlantic Treaty Organization was created in 1949 to provide collective security against the Soviet Union. After Russia's illegal annexation of Crimea in 2014, NATO's heads of state and government agreed to spend 2% of their GDP on defense by 2024.

The United States has always occupied a preeminent position in NATO due to its vast military and financial resources (the table provides a useful comparison). Apart from the United States, the bulk of NATO combat power was historically provided by the United Kingdom, France, and Germany.

In gross terms, the countries with the highest military spending are the United States, China, and Russia. However, these are countries with large populations and GDPs, and smaller countries usually cannot compete alone, regardless of how much they invest.

German news agency DPA put the figure of the German government's reported allocation for defense spending at $73.41 billion (€ 68.58 billion) in the current year which it said would be 2.01% of Germany's GDP. In 2023, Germany spent 1.57% of GDP on defense, well short of the 2% target.

The Declaration prohibits Austria from joining a military alliance, from hosting foreign military bases within its borders, and from participating in a war. Membership of Austria in the European Union (or its predecessor organizations) was controversial due to the Austrian commitment to neutrality.