Global Defense Spending Hits Record High in 2024
Global defense spending reached USD 2.46 trillion in 2024, a significant increase driven by worsening security concerns across multiple regions. The rise reflects growing threat perceptions, particularly in Europe, the Middle East, North Africa, and Asia.
Key Points:
- Overall Growth: Global defense spending saw a 7.4% real-term increase, surpassing previous years’ growth rates of 6.5% in 2023 and 3.5% in 2022.
- European Surge: European defense spending surged by 11.7% to USD 457 billion, continuing a decade-long growth trend. Germany’s defense budget saw a 23.2% increase, although future growth is uncertain due to political changes.
- Russia’s Spending: Russia allocated 6.7% of its GDP to defense in 2024, more than double pre-2022 levels. Projections indicate further increases in 2025.
- Asian Growth: Asian countries saw moderate defense budget increases, with China’s spending rising by 7.4%, driven by ongoing military modernization and regional threats like North Korea’s nuclear program.
- Regional Differences: While defense spending grew globally, Sub-Saharan Africa experienced a decline of 3.7%. In contrast, Latin America and the Caribbean saw a 4.1% increase, although regional budgets remain below pre-pandemic levels.
Increased global defense spending in 2024 highlights the growing focus on security amidst rising threats. While Europe and Asia saw significant upticks, regions like Sub-Saharan Africa lagged behind. As geopolitical tensions persist, nations are likely to continue prioritizing military investments in the coming years.
