Spain's defense budget set to reach 2% of GDP, Sánchez announces

Spain is to increase spending on defense to 2% of GDP in 2025, Prime Minister Pedro Sánchez announced on Tuesday.

Speaking in Madrid, the PM explained an additional investment of €10.47 billion is planned this year, in addition to the budget already allocated to security and defense.

"We will make a significant effort," Sánchez said, while promising that the increased spending will not result in debt, deficits, or cuts to social spending.

He described it as a necessary step in order to meet commitments to the European Union and NATO, and to ensure Spain is prepared for the current geopolitical and climate challenges.

Russian "imperialism"

Russia's "new imperialism" poses a threat to the whole of Europe, Sánchez warned, from the Nordic countries and Eastern Europe to areas further away from Putin, such as Spain.

"Ukraine resists, Europe responds, and Spain fulfills its commitments," the PM said, adding that this vision is shared by all countries that recognize the continent is undergoing a "change of era."

"Spain, as the economic power it is, will not stay out of this process," he added.

Sánchez said it was "essential" that Spain uphold the defense commitments made by the previous conservative People's Party government to NATO. Investment had already increased to 1.4%, and will reach 2% this year, he explained.

Five-pillar plan

As Sánchez outlined, the defense plan approved by the government, which will now be submitted to Brussels, consists of five pillars.

The first pillar, accounting for over one-third of the total investment, aims to improve working conditions, equipment, and preparedness in the armed forces.

The second part of the plan will include creating a "digital shield" to protect Spain from hackers and foreign digital attacks, while the third part of the plan will involve manufacturing and purchasing new "defense and deterrence" equipment.

"We’re not doing this to attack anyone," Sánchez said. "Spain is a pacifist country that believes in diplomacy, but we will do this to deter those who might consider attacking us or attacking Europe."

The plan's fourth pillar focuses on strengthening the "dual" capabilities of the armed forces, enabling them to assist in emergencies such as fires, rescues, or floods in the current context of the climate crisis.

The fifth pillar will be dedicated to the nearly 3,000 Spanish personnel currently stationed abroad in regions such as Lebanon, Somalia, and the Indian Ocean.