Germany Pledges Record Defense Spending to Strengthen Europe’s Security and NATO Unity

Germany’s government has announced a landmark commitment to dramatically increase its defense spending, pledging to reach 3.5% of its gross domestic product (GDP) by 2029.

The move, unveiled just ahead of a pivotal NATO summit in The Hague, marks Germany’s most ambitious rearmament effort since reunification and signals a new era in the country’s approach to European security.

Chancellor Friedrich Merz’s coalition government pushed the plan through parliament, loosening strict debt rules to enable the surge in military investment.

Finance Minister Lars Klingbeil confirmed that defense spending will rise from 2.4% of GDP in 2025—equivalent to €86 billion—to an estimated €153 billion, or 3.5% of GDP, by 2029.

We will raise defense spending step by step so that we will reach a NATO quota of 3.5% in 2029, Klingbeil said, emphasizing that the funds will be spent efficiently, with a focus on greater European cooperation in procurement, research, and development.

The decision comes as NATO allies debate raising the alliance’s defense spending target from the longstanding 2% of GDP to 3.5%, plus additional investment for defense-related infrastructure. Germany, long criticized for falling short of previous targets, now positions itself as a leader in European defense readiness.

Chancellor Merz underscored that the commitment is driven by the need to counter threats from Moscow, not simply to appease international partners.

We will decide to invest significantly more in our security—not to do the United States a favor, but because Russia actively threatens the freedom of the entire Euro-Atlantic area, Merz told parliament.

The government’s broader financial plans also include a €500 billion fund to upgrade national infrastructure over the next 12 years, as well as continued support for Ukraine, with an additional €3 billion in military aid earmarked for Kyiv.

Defense Minister Boris Pistorius called the investment a historic turning point, noting that expectations from NATO partners are high as Germany aims to become the strongest conventional army in Europe.

With this commitment, Germany seeks not only to modernize its armed forces but also to reinforce the long-term goal of maintaining peace and stability across the continent.