NATO Faces Defense Budget Conundrum Amidst Trump’s 5% GDP Proposal

NATO members are grappling with U.S. President-elect Donald Trump's suggestion of raising defense spending to 5% of GDP, far beyond the current 2% target. While nations acknowledge the need for increased spending due to security threats from Russia, meeting Trump's proposed target seems politically and economically unattainable.

NATO allies are resisting Donald Trump's proposal to substantially raise defense spending to 5% of GDP, sticking with their plan to enhance funding beyond the existing 2% target. The proposal was emphasized by Trump during a press conference addressing NATO’s financial commitments.

While acknowledging the need for increased defense budgets due to threats from Russia, NATO members view Trump's target as unrealistic. Countries struggle to meet the 2% mark, and analysts deem the 5% goal economically unviable. Discussions to set a new realistic spending target are underway ahead of a NATO summit.

Nations like Poland already lead with considerably high defense spending due to geographical proximity to conflict zones. Trump's proposal seems more a negotiating tactic for future spending discussions, with NATO likely aiming for a more attainable 3% target.

(With inputs from agencies.)