Top 15 Countries with the Highest Military Spending in the World

According to a report from the Stockholm International Peace Research Institute (SIPRI), global military spending reached $1.981 trillion in 2020, marking a 2.6% increase from 2019, despite a 4.4% drop in global GDP due to the economic impact of the COVID-19 pandemic. Military expenditure in India is largely driven by pensions paid to 3.3 million veterans and defense workers. India also maintains a large military force of 1.5 million troops to secure its borders amid ongoing disputes with Pakistan and China. As a result, the budget for daily operations and salaries in the defense sector far exceeds the funds allocated for modernizing the military, leading to shortages in various areas, from fighter jets to submarines. One exception was the border clash with China in Ladakh in May 2020, which forced India to urgently procure weapons from abroad. SIPRI experts suggest that India's defense spending is largely influenced by ongoing tensions with Pakistan over Kashmir and new border disputes with China. With a weak domestic defense industry, India is likely to remain strategically vulnerable, being the second-largest arms importer globally, just behind Saudi Arabia. India accounted for 9.5% of the global arms imports from 2016 to 2020. Military Spending: $61 Billion

According to Defense Secretary Ben Wallace, the UK's annual defense budget will reach £100 billion by 2030. The UK has the strongest military force in Europe and is trusted by its allies for protection. While the US remains the most important non-European military power in the region, the UK has emerged as a key strategic player on the continent. It continues to be the region's leading nuclear power, relying on its nuclear submarine fleet for strategic deterrence. Despite a reduction in size over the years, the UK's strategic deterrence capabilities are still fully equipped with conventional forces on land, air, and sea, as well as artificial intelligence and electronic warfare technologies, capable of global operations. Long before Prime Minister Johnson came to power, the UK had been the backbone of the Joint Expeditionary Force, a group of 9 countries initially formed for military cooperation in Afghanistan, but now the leading small security organization in Europe. The force includes the 5 Nordic countries (Denmark, Finland, Iceland, Norway, and Sweden), 3 Baltic states (Estonia, Latvia, and Lithuania), and the Netherlands. Its primary focus is to respond swiftly to regional provocations; this force can act much faster than NATO's slower response. Unlike many European defense initiatives under the EU's umbrella, the Joint Expeditionary Force is a serious, capable organization, not a symbolic or aspirational one. Military Spending: $55.10 Billion

In 2022, alongside allocating over $50 billion for military spending, the German government revealed plans for a 100 billion euro 'special fund' aimed at modernizing its armed forces. Germany will now increase its defense spending to over 2% of GDP, marking a significant shift in its defense policy.

"We must ask ourselves: What capabilities does President Putin's Russia have? And what capabilities do we need to counter his threats?" said German Chancellor Olaf Scholz during an emergency session of parliament today. "Clearly, we must invest more in security to protect our freedom and democracy." For decades, Germany has focused on increasing social welfare rather than investing in defense, a policy that some senior military officials now call undermining the armed forces. Germany has also been slow to diversify its energy sources, becoming increasingly reliant on Russian gas, half of which is supplied through the controversial Nord Stream pipeline. Chancellor Scholz confirmed that the government would immediately invest $113 billion in defense weapons. From now on, Germany’s military spending will exceed NATO’s 2% GDP target—a goal no predecessor has achieved since the Cold War ended. Military Spending: $50 Billion

Japanese Prime Minister Fumio Kishida is shifting away from the country’s pacifist image by doubling defense spending and forging new strategic agreements. After nearly eight months in office, Kishida's pivot on security policy is undeniable.

In June, Kishida's cabinet approved a fiscal plan that significantly boosts defense spending. Although the plan uses complex jargon, the goal is clear: raise Japan's defense budget to match NATO standards at 2% of GDP, double the current level. Additionally, Japan has initiated defense talks with the UK, signed a defense agreement with Australia, and made history by signing its first-ever weapons deal with Thailand. This military cooperation allows Japan to sell military equipment and invest in Thailand’s defense industry.

Experts highlight that Japan, heavily dependent on energy imports by sea, faces increasing challenges from China’s rise as a naval power in the East and South China Seas, as well as threats from Russia over the Kuril Islands. Expert Gatling notes that Japan handles these issues more harmoniously than the US or Europe. However, the ongoing Russia-Ukraine war has demonstrated that Japan can no longer afford to ignore security threats.

Military Spending: $49 Billion

Bloomberg reports that Russia has earmarked 4.982 trillion rubles (86 billion USD) for defense spending in 2023, an increase of 43% from the originally planned 3.473 trillion rubles. This amount represents 3.3% of Russia’s GDP and is the second-largest portion of the national budget, making up 17.1%, just after social policies (25.3%). Additionally, national security and law enforcement spending has risen by 40%, now accounting for 14.3% of the overall budget.

In contrast, funding for education and culture is set to increase only slightly in 2023, while environmental funding is reduced by a quarter from its original projection of 0.2% of GDP. According to the Stockholm International Peace Research Institute (SIPRI), Russia was the 5th largest military spender in 2021, with an estimated defense budget of 65.9 billion USD, a 2.9% increase from 2020. The U.S. led global military spending by a wide margin at 801 billion USD, more than 12 times Russia's expenditure. China, India, and the UK followed behind with 293 billion USD, 76.6 billion USD, and 68.4 billion USD, respectively.

The planned increase in Russia's defense budget reflects the country's intensified commitment to the ongoing conflict in Ukraine. Recent battlefield setbacks are believed to have forced President Vladimir Putin to order the mobilization of 300,000 troops and proceed with referendums to annex territories under Russian control in Ukraine.

On August 30, the South Korean government revealed plans for a 4.6% increase in its defense budget for the 2023 fiscal year. The Ministry of National Defense proposed a budget of 57.1 trillion won (42.3 billion USD), up from 54.6 trillion won in 2022. This proposal will be presented to the National Assembly for approval on September 2. Specifically, 17.2 trillion won is designated for weapons procurement and other defense projects, a 2% increase from the previous year, while 40.1 trillion won is allocated for military operations, reflecting a 5.8% rise.

Additionally, 5.25 trillion won will be spent to enhance South Korea’s three-axis defense system, which includes the Kill Chain preemptive strike framework, the Korea Massive Punishment and Retaliation (KMPR) program, and the Korea Air and Missile Defense (KAMD) system. The budget also includes 124.9 billion won for medium-range surveillance drones, 129.2 billion won for more Patriot Advanced Capability-3 (PAC-3) missile interceptors, and 41.7 billion won for additional 230mm rocket launchers.

Moreover, the overall defense budget covers a salary increase program for military personnel. A sergeant's salary, currently 676,100 won, will rise to 1 million won. However, the proposed budget does not include funding for the development of a light aircraft carrier. Officials note that the Defense Acquisition Program Administration (DAPA) will decide on aircraft carrier procurement after conducting feasibility studies.

Under the 2023 budget proposal, France's defense spending is set to reach a historic high of 43.9 billion euros to bolster its combat capabilities and modernize its military in response to the growing threat of a conflict escalation from Ukraine. The top priority in the 2023 defense budget is a 2 billion euro allocation to purchase additional weapons and ammunition, as France's military arsenal is reportedly at its lowest point in years and risks depleting rapidly in the event of a large-scale conflict.

As part of this, the French military is expected to acquire notable weapons systems, including 200 medium-range anti-tank missiles (MMP or Akeron MP), 100 next-generation medium-range surface-to-air missiles (SAMP-T or Aster 30), around 100 air-to-air MICA missiles for Rafale and Mirage 2000 fighter jets, and more than 700 air-to-ground bombs in various sizes ranging from 250kg to 1000kg. Additionally, approximately 10,000 155mm artillery shells for the Caesar self-propelled howitzers are on the procurement list. In 2023, France is also set to receive advanced weaponry that was ordered in recent years, including 13 Rafale fighter jets, 3 multi-role aerial refueling aircraft (MRTT), a nuclear-powered attack submarine, and over 260 new-generation armored vehicles, such as 123 Griffons, 119 Servals, and 22 Jaguars.

Military Spending: $41.5 Billion

Brazil's armed forces currently rank 11th globally, with approximately 400,000 soldiers in a population of around 212 million. The country has around 676 main battle tanks, placing it 34th in the world, and ranks 34th in air power with a fleet of aircraft. Amid rising security challenges across its vast territory, including separatist movements, terrorism, and increasingly armed and audacious drug trafficking groups operating in the Amazon rainforest region, Brazil has prioritized defense spending.

In response, the Brazilian government has allocated significant funds for defense procurement to safeguard its citizens. Billions of dollars are spent annually on military acquisitions, predominantly from American arms manufacturers. Facing this reality, Brazil has decided not to let its funds flow into foreign companies' pockets and recognized the need to maintain self-reliance. The country leverages its domestic manufacturing capacity, which allows it to produce modern weaponry for export, providing less economically developed nations with access to advanced equipment without the political constraints of issues like human rights or democracy that may arise in deals with other countries.

Military Spending: $27.8 Billion

Experts assess that the first major foreign policy challenge for Italy's new government will be its military spending, which is set to rise from 1.5% to 2% of the nation's GDP (3.3 trillion USD in 2021) over the next six years. An analysis by researcher Gabriele Abbondanza, published by the Italian Institute for International Affairs (IAI), highlighted military expenditure as the key external challenge. Italy will have to decide how to allocate this additional funding efficiently while avoiding unnecessary costs.

Within the European Union (EU), Giorgia Meloni, leader of the Brothers of Italy party (FdI) and expected to become the first female Prime Minister of Italy, along with her allies, will need to demonstrate their ability to effectively manage the third-largest economy in the EU and the second-largest manufacturer, all while continuing to strengthen public finances. Italy's massive post-COVID recovery plan hinges on the stability of its economic foundation.

In late October 2022, Australia committed to increasing its defense spending and intensifying diplomatic efforts with Southeast Asian and Pacific nations as it seeks to counter the growing economic and strategic influence of the People's Republic of China (PRC) in the region. Prime Minister Anthony Albanese's first budget since his Labor government took office in May 2022 raised defense funding by 8% for the fiscal year ending June 2023 and increased it by over 2% of GDP until mid-2026. Additionally, the government allocated 22.1 billion AUD (892 million USD) in foreign assistance, including 14.7 billion AUD (593 million USD) for Pacific Island Countries (PICs) and 7.5 billion AUD (299 million USD) for Southeast Asia. As tensions with Beijing continue to escalate, Australia has partnered with the United States in two key multilateral groups: the Quadrilateral Security Dialogue (Quad), which also includes Japan and India, and AUKUS, which also involves the United Kingdom.

The United Arab Emirates (UAE), with its vast oil wealth, has become one of the most powerful military forces in the Middle East. Despite a population of less than 10 million, the UAE actively engages in military activities within the region and invests heavily in weaponry. Recently, the UAE participated in airstrikes against the self-proclaimed Islamic State (IS) in Iraq and Syria. In 2011, the UAE deployed dozens of fighter jets to enforce a no-fly zone over Libya. While the world has largely overlooked the UAE's military potential, it ranked among the top 15 countries in global defense spending in 2013. According to the Stockholm International Peace Research Institute, UAE's defense budget nearly doubled over the past decade, reaching over $14 billion. Experts predict that by 2015, the UAE will become the third-largest arms importer in the world. Currently, the UAE is a key partner of the United States in the fight against IS, with its intelligence agencies working closely to combat extremist fighters in Iraq and Syria. Additionally, the Pentagon has stationed several military aircraft at Al Dhafra Airbase near Abu Dhabi.

The Canadian government has announced an additional military expenditure of 8 billion CAD (approximately 6.4 billion USD) over the next five years as part of its new budget, in response to Russia's invasion of Ukraine. However, Canada's defense spending still falls short of NATO's target of 2% of GDP. Recently, the Canadian government selected Lockheed Martin as the preferred contractor in its search for a new fleet of fighter jets, valued at 19 billion CAD (about 15.1 billion USD). This move sees Canada once again pursuing a deal for Lockheed Martin's fifth-generation F-35 stealth fighters. Negotiations are expected to begin within the next seven months. Several defense contractors, including Lockheed Martin, Boeing, Saab, Airbus, and Dassault, had previously competed for the contract. "The F-35 has demonstrated its capabilities, completeness, and interoperability, which is why we are moving forward with the procurement process," said Canada's Minister of National Defence, Anita Anand. "Canada has one of the largest airspaces in the world, and we need to ensure our next fleet of fighters is capable of countering multiple threats."

The United States leads the world in military spending, with a total of 731 billion dollars. The U.S. has held this position since SIPRI began tracking global military expenditures in 1949, accounting for over 30% of the world's military spending in the past two decades. President Joe Biden proposed a 5.79 trillion USD budget for fiscal year 2023, with a significant allocation for defense to enhance national security and counter Russia and China. According to a March 29 report by Reuters, Biden's budget proposal includes record peacetime military spending, additional aid for Ukraine, and resources to compete with Russia and China. "The world has changed. Beyond dealing with terrorist organizations, in the second quarter of the 21st century, we face growing competition from countries like China and Russia, which requires investment in areas such as space, cybersecurity, and advanced capabilities like hypersonic weapons," the White House stated, quoting Biden. The president described this as one of the largest security-related investments in U.S. history. "Some may not like the increase, but we are in a different world today," he added.

According to AFP, China’s newly announced defense budget increase slightly exceeds the 6.8% rise of 2021, aligning with the overall growth trends in recent years. In his opening speech at the National People's Congress on March 5, Chinese Premier Li Keqiang mentioned that Beijing will "enhance military training and combat readiness, remain firm and flexible in military engagements, and safeguard China's sovereignty, security, and developmental interests." Premier Li also stated that this year, the Chinese government plans to accelerate the modernization of military asset and logistics systems and enhance the management of modern military equipment and weaponry. "We will continue to reform national defense and the military, advancing innovation in defense science and technology," Premier Li added. The defense budget increase this year surpasses the 5.5% GDP growth target set for 2022. According to Reuters, China has set a low GDP growth target amid challenges in the world’s second-largest economy, including a downturn in real estate and an uncertain global recovery from COVID-19.

Saudi Arabia is making significant investments in its defense industry to reduce reliance on imported military equipment and create higher-value jobs domestically. Over the past few decades, the Middle East has become a focal point for global conflicts, with ongoing civil wars in Syria, Iraq, Yemen, and Libya. Furthermore, the internationalization of these conflicts has led to new alliances among nations, further intensifying the region's geopolitical climate. Additionally, the proxy war between Iran and Saudi Arabia, a battle for influence in the Middle East and beyond, has seen various countries providing differing levels of support to opposing sides in these conflicts. As more countries engage in armed confrontations, there is growing pressure to acquire military assets that can match their rivals. This has also been fueled by the global powers’ obsession with advanced military capabilities. The region is also witnessing several maritime disputes, particularly over territorial claims in the Persian Gulf, involving countries like Iran, Iraq, Kuwait, Saudi Arabia, Bahrain, Qatar, UAE, and Oman. Rising tensions between Iran and its allies and the U.S. and its partners in the Gulf are forcing nations to strengthen their military readiness.