![\"Germany](\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/schue-1750708562.jpg\" "\\"Germany")
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Puma infantry fighting vehicle. Photo credit: Bundeswehr<\/p>\n
Germany plans to raise its defense budget to \u20ac153 billion by 2029, which will represent 3.5% of its gross domestic product. <\/strong><\/p>\n The announcement came a day ahead of the NATO summit in The Hague, where member states are expected to debate defense spending targets, News.Az<\/a> reports citing foreign media.<\/a><\/p>\n U.S. President Donald Trump has urged allies to raise defense spending to 5% of GDP, including 3.5% for military needs and 1.5% for related infrastructure.<\/p>\n Germany\u2019s defense budget in 2025 is expected to reach \u20ac86 billion, equivalent to 2.4% of GDP. The planned increase would bring it to the highest level since German reunification.<\/p>\n To support the boost in spending, Chancellor Friedrich Merz\u2019s government has temporarily suspended the constitutional \u201cdebt brake,\u201d allowing for borrowing beyond the standard 1% of GDP cap.<\/p>\n Berlin has also requested that the European Union classify defense-related investments as exceptional expenses under the bloc\u2019s Stability and Growth Pact.<\/p>\n A \u20ac100 billion special defense fund, created in 2022 after Russia\u2019s full-scale invasion of Ukraine, is projected to be depleted by 2027.<\/p>\n As a result, a structural increase in the core defense budget is seen as essential to sustain the pace of military modernization.<\/p>\n Chancellor Merz also pledged to invest up to 1.5% of GDP in defense-related infrastructure, such as transport corridors and strategic mobility initiatives, as part of NATO\u2019s broader interpretation of defense capabilities.<\/p>\n The budget also includes expanded commitments to countries affected by violations of international law, with Ukraine as a primary recipient.<\/p>\n In 2025, Germany plans to allocate \u20ac8.3 billion in aid to Ukraine \u2014 twice the amount proposed under former Chancellor Olaf Scholz. Starting in 2026, this figure is expected to rise to \u20ac8.5 billion annually.<\/p>\n The proposed budget is scheduled for approval at a cabinet meeting on June 24. Chancellor Merz is set to address the Bundestag the following day, before departing for the NATO summit.<\/p>\n