Poland has emerged as a leader in European defence spending, allocating 4.48% of its GDP in 2025, surpassing even the United States. This significant investment reflects a broader trend among Eastern European nations, particularly those bordering Russia, which are ramping up military capabilities amid heightened security concerns. The Baltic states, including Lithuania and Latvia, are also investing heavily, with spending rates above 3% of GDP.
The increase in defence budgets across Europe is notable, with NATO members collectively spending 2.5% of GDP on defence in 2025, marking the highest levels since the Cold War. However, the distribution of this spending reveals a stark divide; while frontline states are investing substantially, many Western European countries are barely meeting the minimum NATO target of 2%.
Despite the surge in spending, a significant portion of defence procurement is still directed outside the EU, with around 40% of equipment spending going to non-European suppliers. This reliance on imports raises concerns about Europe’s self-sufficiency in critical military technologies, particularly as nations aim to bolster their defence capabilities in a rapidly changing geopolitical landscape.
Looking ahead, the NATO summit has set an ambitious target of 5% of GDP by 2035, with a focus on core defence spending. Achieving this will require substantial increases from many European nations, particularly those currently lagging behind. As defence spending becomes a key driver of economic growth in Europe, the implications for military readiness and industrial capacity will be significant.
Source: Euronews
