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Italy's Meloni urges NATO rethink on defence spending as Rome lifts outlays

Published by Global Banking & Finance Review

Posted on June 11, 2026

3 min read

· Last updated: June 11, 2026

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Italy Raises Defense Budget and Urges NATO to Rethink Military Priorities

Italy's Defense Spending and Shifting Military Strategies

By Crispian Balmer

ROME, June 11 (Reuters) - Italy will ramp up its official defence budget this year, but NATO allies should rethink military priorities as warfare is transformed by drones, satellites and data, Prime Minister Giorgia Meloni said on Thursday.

Increased Defense Budget and NATO Commitments

Addressing parliament, Meloni said she would tell a NATO summit in July that Italy would spend some 2.8% of national output on defence and security in 2026, an increase of some 0.71 percentage points on last year.

The bulk of this increase will come from spending linked to domestic security, including some police duties, with Italy taking advantage of NATO rules to include items in its budget that were previously excluded.

Beyond Headline Spending Targets

However, Meloni warned against a debate focused solely on headline spending targets, saying the war in Ukraine had shown that modern military power could not be measured simply by traditional weapons systems or the volume of expenditure.

Transformation of Warfare: Drones, Satellites, and Data

PlayStation Points to New Battleground Reality

Pointing to Ukraine, Meloni said the frontline was blocked and swarming with drones. "Nothing moves because of this, and we have seen tanks costing millions of euros destroyed by drones that cost on average €20,000 ($23,000)," Meloni said.

The Strategic Value of Technology

She said Western allies needed to assess "the value of a well-positioned satellite compared with a well-positioned tank or a well-positioned aircraft carrier," adding that data had to be defended strategically.

"There are countries that, rather than recruiting soldiers, are training kids who are used to playing PlayStation, preparing those kids to pilot drones remotely in a possible war," she said. "This is a debate the West must have."

International Pressure on Defense Spending

U.S. President Donald Trump has repeatedly accused European governments of underinvesting in their militaries and relying too heavily on U.S. protection, urging European and Asian allies to raise defence spending to 3.5% of GDP.

Budget Battles Among NATO Allies

UK Resignation Highlights Budget Battles

Underscoring the tensions surrounding military spending, British Defence Minister John Healey quit on Thursday in a dispute over military spending, accusing Prime Minister Keir Starmer of failing to commit the resources that he said were needed to keep the country safe from heightened threats.

Italy's Perspective on Defense Minister Resignations

Italy's Defence Minister Guido Crosetto said he understood Healey's decision, adding that other defence ministers were grappling with the same feelings.

"I have chosen to wait for less difficult times, hoping for a positive evolution of the current circumstances," Crosetto wrote on X. "I do not know whether the path I have chosen is the right one ... but the signals I have received lead me to believe that a more conscious understanding is emerging."

($1 = 0.8691 euros)

(Reporting by Crispian Balmer and Angelo Amante, editing by Alvise Armellini)

Key Takeaways

  • Italy plans to spend about 2.8% of its GDP on defense and security in 2026, up ~0.71 percentage points from last year, by counting domestic security items under NATO definitions.
  • PM Meloni called for NATO allies to recalibrate defense priorities, emphasizing the strategic value of drones, satellites and data over traditional platforms like tanks or aircraft carriers.
  • She highlighted how modern warfare—seen in Ukraine—demonstrates that inexpensive drones (around €20,000) can neutralize costly assets like tanks, urging a shift in how military power is measured.
  • The call comes amid broader NATO debates over spending targets: NATO aims for core defense plus related security costs (like infrastructure and cyber) to reach up to 5% of GDP, with 3.5% for direct defense by 2035.
  • In the UK, Defence Secretary John Healey resigned on June 11 over stalled military spending plans, citing lack of Treasury support and delayed Defence Investment Plan—a sign that alliance-wide funding tensions are mounting.

Frequently Asked Questions

How much is Italy planning to spend on defense by 2026?
Italy will spend approximately 2.8% of its national output on defense and security by 2026.
What changes is Italy making to its defense budget calculations?
Italy is including domestic security and some police duties in its official defense budget, taking advantage of NATO rules.
Why does PM Meloni urge a rethink of NATO's military priorities?
Meloni argues that modern warfare, marked by drones and data, requires shifting focus from traditional military spending to advanced technology and strategic assets.
What example does Meloni cite about the effectiveness of new warfare technology?
She notes that drones, costing an average of €20,000, have destroyed much more expensive tanks on the Ukrainian frontline.
What broader debate does Meloni believe the West must have?
Meloni believes the West must discuss the strategic value of satellites and data, and adapt military recruitment and training to new realities of warfare.

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