“It’s true that we’re spending more on defense now than we did 10 years ago,” said former Dutch Prime Minister Mark Rutte. “But we’re still spending significantly less than we did during the Cold War — even though the threats to our freedom and security are just as substantial, if not greater.”
Rutte pointed out that during the Cold War, European NATO members allocated much more to defense budgets. “In the early 1980s, before the Soviet Union collapsed, Europeans were spending well over 3 percent of their GDP on defense,” he said, referencing NATO data that placed the average defense spending of European members at about 3.8 percent of GDP during that period.
While speaking, Rutte refrained from endorsing a precise target for future defense spending. However, in a Q&A session following his remarks, he noted that “considerably more than 2 percent” of GDP would be essential.
Rutte also addressed Russia’s surging military expenditures, underscoring the Kremlin’s preparation for a prolonged conflict with Ukraine as well as other European nations. He highlighted reports estimating that Moscow currently allocates more than a third of its state budget — or over 6 percent of its GDP — toward defense spending.
Many NATO allies now believe the existing goal of 2 percent of GDP is inadequate to fulfill updated regional defense strategies and meet the alliance’s capability objectives. NATO is expected to announce expanded requirements next year to strengthen its collective defense posture.
Meanwhile, the European Commission has outlined the financial challenge ahead, estimating that EU member states will need to bolster defense spending by an additional €500 billion over the next decade.
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