Portugal Plans to Hike Defence Spending Ahead of NATO Target
Portugal aims to raise its defense spending to 2% of GDP in 2024, four years ahead of its previous schedule. Prime Minister Luis Montenegro announced a forthcoming defense investment plan that aligns with NATO targets, fostering economic growth without compromising social and budgetary balance.
- Country:
- Portugal
Portugal is set to boost its defense spending to 2% of its gross domestic product by this year, surpassing its initial deadline by four years, as announced by Prime Minister Luis Montenegro on Thursday.
Among NATO's 32 members, the nation is recognized for its lower defense expenditure relative to GDP, with 2024 projections standing at 4.48 billion euros, equating to 1.58% of GDP. Previously targeting the end of 2029 to meet NATO's current 2% benchmark, Montenegro now plans to unveil a detailed strategy for sustained defense investment under his re-elected center-right government.
Montenegro intends to present an expedited 2% target at the upcoming NATO Summit, ideally achieving it by 2025, while maintaining social service functions and fiscal responsibility. He noted that increased investments would be directed toward national defense industries, potentially spurring economic growth.
(With inputs from agencies.)
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