Finance
Europe and Canada boosted defence spending 20% in 2024, NATO says
Published by Global Banking and Finance Review
Posted on February 7, 2025
2 min readLast updated: January 26, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on February 7, 2025
2 min readLast updated: January 26, 2026
NATO reports a 20% increase in defence spending by European members and Canada in 2024, exceeding $485 billion, amid U.S. pressure.
By Andrew Gray
BRUSSELS (Reuters) - Defence spending by NATO's European members and Canada was 20% higher in 2024 than the previous year, NATO Secretary General Mark Rutte said on Friday, ahead of a meeting in which they are likely to come under renewed U.S. pressure to spend more.
U.S. President Donald Trump has stepped up calls on fellow NATO members to ramp up their spending on defence, which he frequently demanded during his first term in office.
Many members have been anxious to show that they have taken his message on board and have already increased military spending, particularly since Russia's 2022 invasion of Ukraine.
NATO said the 20% boost by the alliance's non-U.S. members took their total defence spending to more than $485 billion.
"I'm looking forward to hosting defence ministers at NATO next week where we'll talk about investing more and better in defence," Rutte said in response to a Reuters request to NATO for the latest spending figures.
"We've crunched the numbers. They're going up. In fact, spending by Europe and Canada is up 20% in 2024, bringing the total additional investment in recent years from $640 to $700 billion."
NATO said "recent years" referred to the period since 2014, when members of the transatlantic military alliance agreed on a goal of spending 2% of gross domestic product (GDP) on defence.
According to NATO estimates published last year, 23 of the alliance's 32 members now meet that goal.
But Trump said last month that NATO members should now spend 5% of gross domestic product (GDP) on defence – a level that no NATO country, including the United States, currently reaches.
Last year, the United States accounted for about two-thirds of all defence spending by NATO members, according to NATO data.
NATO said it could not make further spending figures available for the moment. But it is expected to release more at Wednesday's meeting of alliance defence ministers, which will include a debut for Trump's Pentagon chief Pete Hegseth.
(Reporting by Andrew Gray; editing by Philippa Fletcher)
The article discusses the increase in defence spending by NATO's European members and Canada in 2024.
The increase is partly due to U.S. pressure and the ongoing security concerns following Russia's actions in Ukraine.
NATO members agreed to spend 2% of their GDP on defence, but Trump has suggested a new target of 5%.
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