Does military expenditure account for P2% of GDP? Schultz: Realize next year

2023-08-28

According to TASS on August 26th, German Chancellor Schultz confirmed in an interview with the German newspaper Pasho Novosti that the German government plans to achieve the goal of defense spending accounting for 2% of gross domestic product (GDP) next year. He said, "We want to reach the 2% target next year... The defense budget may need to increase by 25 billion euros." This move will be implemented after the existing 100 billion euros special fund is used up. The German newspaper "Business Daily" reported in early July that Germany has currently only spent 1 billion euros out of 100 billion euros. The newspaper believes that by 2025, Germany's military spending is likely to not reach 2% of its gross domestic product. The German Ministry of Defense stated on the 21st that out of the 100 billion euro fund, the amount of contracts signed is approximately 33 billion euros. It is reported that in recent months, some opposition politicians have criticized the German federal government for using special funds too slowly. German Defense Minister Pistorius stated that the dedicated funds are not sufficient to implement all planned projects. Federal Defense Commissioner Eva Hegel believes it is necessary to double the special fund. At the end of February 2022, the German parliament voted to allocate 100 billion euros for defense needs, including the purchase of ammunition, equipment, and the development of new weapon systems. Germany believes that this is a necessary measure taken in the context of the Ukrainian crisis. (Compiled by Zhao Zhipeng)

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