Spain's Defense Spending Surge Under NATO Pressure

Spain is ramping up its defense spending by 2.08 billion euros, reallocating funds towards Defense Ministry procurement contracts. This decision comes amid NATO pressure to meet a 2% GDP target, aiming to modernize and maintain its military infrastructure despite a fragmented parliament affecting budget approval.

Spain is set to bolster its defense budget by an additional 2.08 billion euros this year, as the nation reallocates funds to bolster the Ministry of Defense procurement contracts. This strategic move comes as Spain faces growing pressure from its NATO allies to align with financial commitments to the alliance.

Currently, Spain holds the lowest defense expenditure ratio among NATO's 32 members, with only 1.3% of its economic output devoted to defense. To meet the alliance's stipulated 2% target, Spain would need to significantly increase its spending by approximately 10 billion euros annually. Despite its commitment to reach the target by 2029, recent announcements suggest Madrid aims to fulfill this goal sooner.

The government's intentions were reiterated by spokesperson Pilar Alegria, who highlighted the focus on "modernisation, maintenance, and improvement of personnel, infrastructure, and facilities." However, with the nation's public budget rolled over since 2023 due to a fragmented parliament, achieving this financial leap poses a considerable challenge.

(With inputs from agencies.)