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World military spending rose in 2025 due to increased wars and tensions

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The world allocated nearly $2.9 trillion to military spending in 2025, marking the eleventh consecutive year of growth in a context of multiplying conflicts and tensions, according to a benchmark report published this Monday.

The three main contributors – the United States, China and Russia – represent just over half of the total, with $1.48 trillion dollars.

The increase was 2.9% compared to the previous year, and this despite the decrease in US military spending, according to the report by the Stockholm International Peace Research Institute (Sipri).

This drop was largely offset by increases in Europe and Asia, in “a new year marked by wars and the intensification of tensions,” Lorenzo Scarazzato, a Sipri researcher, explained to AFP.

The “military burden”, that is, the proportion of global GDP allocated to military spending, is the highest since 2009.

The United States spent $954 billion dollars, 7.5% less than in 2024, mainly due to the suspension of aid to Ukraine.

The main driver of the global increase came from Europe – which includes Russia and Ukraine – where 14% more was spent, totaling $864 billion.

Strong increase in Asia/Oceania

“This is explained by the ongoing war in Ukraine and the withdrawal of the United States from Europe,” Scarazzato declared. The United States “is pushing Europe to take greater responsibility for its own defense.”

Germany, the fourth country in the world in terms of spending, increased it by 24% in 2025, up to $114 billion. Spain also considerably increased its spending, by 50%, to $40.2 billion dollars, exceeding 2% of GDP for the first time since 1994.

Russia’s spending increased 5.9%, to $190 billion, equivalent to 7.5% of GDP. Ukraine, for its part, increased its spending by 20%, up to $84.1 billion, which represents 40% of its GDP.

Despite persistent tensions in the Middle East, spending in the region only increased 0.1% to $218 billion.. While most countries in the region increased their spending, Israel and Iran actually reduced them.

In Iran, spending decreased 5.6%, reaching $7.4 billion, although this is mainly explained by high annual inflation of 42%. In nominal terms, spending did increase.

In the case of Israel, the 4.9% reduction, to $48.3 billion, is due to the ebb of the war in Gaza after a first ceasefire with Hamas at the beginning of 2025, and another since October, the researchers explained, although they noted that spending was still 97% higher than in 2022.

In the Asia-Oceania region, spending totaled $681 billion, an increase of 8.5% compared to 2024, the largest annual increase since 2009.

The “predominant actor” in the region is China, which increased its spending every year during the last three decades and allocated approximately $336 billion in 2025, highlighted the Sipri researcher. “But the interest probably lies in the reaction of other states, such as South Korea, Japan and Taiwan, to the perceived threat,” he said.

Also rising in South America

The report indicates that military spending in Central America and the Caribbean fell by 27% in 2025, to $17.1 billion. although “it grew by 64% during the decade 2016-2025.”

“Trends in the subregion are strongly influenced by Mexico’s military spending, which fell by a third in 2025, to $13.6 billion,” the report noted. In 2024, this country had however increased its military investment by 71%.

Meanwhile, In South America, military spending “amounted to $56.3 billion in 2025, an increase of 3.4% compared to 2024 and 5.7% compared to 2016.”

Brazil, South America’s biggest spender, increased its spending by 13% in 2025, to $23.9 billion, according to the report.

Guyana’s military spending increased by 16%, to $248 million in 2025, “driven by growing tensions with Venezuela over the Essequibo oil region.”

Of the 40 largest spenders globally, Brazil appears in 21st place, with Colombia in 29th and Mexico in 30th.

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