Luxembourg’s Defence Spending Set to Exceed €13 Billion by 2035

Luxembourg is preparing for a major rise in defence spending over the next decade as it works to meet NATO’s new target. At the Hague summit in June, alliance members committed to investing at least 5% of GDP in defence by 2035. Due to its unique economic structure, Luxembourg secured an adjustment—its benchmark will be 5% of gross national income (GNI) instead.

According to the National Council of Public Finances, Luxembourg’s defence budget has already grown significantly—from €190 million in 2014 to an estimated €728 million in 2024, marking a 383% increase and a rise from 0.51% to 1.29% of GNI.

To hit the 5% GNI goal by 2035, defence spending will need to reach €4.63 billion annually, representing an additional €13.35 billion in total investment between 2025 and 2035.

The figures underline Luxembourg’s ongoing commitment to bolstering its military contribution, even as the financial effort ahead remains substantial.
Read More : Dépenses militaires: le Luxembourg vise 4,63 milliards d'euros par an d'ici 2035 - L'essentiel

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