Trump's victory in the US

Defence, how much Italy would have to pay to comply with NATO

Defence Minister Crosetto: 'We go from 1.54% this year, to 1.57% in 2025, to 1.58 in 2026 and 1.61 in 2027. I recall that previous governments had made the 2 per cent commitment - not of this colour - the 2 per cent commitment for 2028."

by Andrea Carli

Crosetto: prima una difesa italiana forte, poi quella europea

3' min read

3' min read

With Donald Trump's victory in the presidential elections, the international projection of the United States is destined to change quickly, profoundly and in such a tangible and evident way that it will force Europe to reflect concretely, and in real time, on its role and its future. The area of defence is among those that will be most affected, at least potentially, by this substantial change of course.

The minimum requirement of 2% of GDP defence spending

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From Obama onwards, all White House tenants have felt that the real challenge is with China. Trump is fully in this vein. And since that is the priority, Europe has little to expect from the tycoon. The recipe for new transatlantic relations is already written: compliance with Trump's repeated request to participate in defence and NATO spending (with a minimum limit of 2% of GDP) will become an insurmountable line for the USA. The goal of achieving defence spending of 2% of GDP by 2028, as per Nato commitments, is still a long way off. Complicating the picture is the fact that today the 2% bar is considered a minimum requirement, not just a target.

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This year 1.54% of GDP is allocated to defence spending

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Where do we start from? "Very wrong figures have come out on the increase in the Defence budget," stressed Defence Minister Guido Crosetto, speaking at a hearing before the Senate Foreign Affairs and Defence Committee on the Defence multi-year planning document for the three-year period 2024 - 2026 . "We," he explained, "go from 1.54% this year, to 1.57% in 2025, 1.58 in 2026 and 1.61 in 2027. I remember that previous governments had made the commitment of 2 per cent - not of this colour - the commitment of 2 per cent for 2028'.

Crosetto: 'Exclude defence spending from the Stability Pact calculation'

"Already in the latest NATO meetings," Crosetto added a few days ago during a speech on 'Five Minutes' on Rai Uno, "there is talk of 2.5 per cent of GDP" to be allocated to defence. "It is a problem for a country like ours that has a high public debt that we have inherited. We must aim to exclude Defence spending from the calculation of the Stability Pact, it must not compete with investments in culture, schools, social welfare, health. They must be detached because defence and security are a prerequisite for everything else to exist'.

Giorgetti: 2% not entirely compatible with European governance rules

Confirming the trend in the ratio of defence spending to gross domestic product was Economy Minister Giancarlo Giorgetti, in light of the allocations in the budget bill. Speaking at a hearing on the manoeuvre before the Budget committees of the House and Senate, Giorgetti emphasised that 'despite the large appropriations allocated, the 2% of GDP target requested by Nato is very ambitious and not entirely compatible in terms of coverage with the current framework of European governance'.

Defence Commissioner-designate Kubilius' opening

In this regard, the openness of the European Commissioner-designate for Defence, Andrius Kubilius, did not go unnoticed. During a hearing in the Euro Chamber, responding to a question from Fratelli d'Italia MEP Elena Donazzan, he confided: 'I agree with you, I am in favour of the Italian proposal not to consider defence spending in the stability pact, it is very rational'.

The Italian recipe also looks at European-backed debt issues

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If the goal is to aim for 2 per cent of GDP, between ten and eleven billion per year are missing. The blanket of available resources is therefore short. The way forward? Crosetto sees as positive "the opening of the new European Defence Commissioner (Andrius Kubilius, ed.) on the exclusion of military expenditure from the Stability Pact, but we must also study mechanisms for issuing debt to support appropriations, perhaps with European coverage, so as to make any national impact of defence spending neutral".

The Defence Budget

The Multiannual Defence Planning Document for 2024-2026 calculates an integrated budget value of more than EUR 32 billion for 2024. In the last 15 years, it is explained, the trend of resources allocated to Defence has been fluctuating but still growing (it was about 23 billion in 2008).

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