Spain has announced a €10.5 billion investment plan aimed at reaching NATO’s long-standing defence spending benchmark of 2% of GDP by 2025—four years ahead of its previous target.
Prime Minister Pedro Sánchez revealed the plan on Tuesday, describing it as an “industrial and technological plan for security and defence” that reflects the changing nature of modern threats and Europe’s growing need for self-reliance. He emphasized that recent geopolitical tensions, particularly Russia’s invasion of Ukraine, have underlined the urgency of bolstering European defence capabilities.
“Only Europe will know how to protect Europe,” Sánchez said, underscoring the EU’s need to take ownership of its security.
Spain, which currently spends about 1.3% of GDP on defence, has lagged behind many of its NATO counterparts. The country had previously pledged to meet the 2% target by 2029. The new plan, which has been approved by the Spanish cabinet, will now be presented to both the EU and NATO.
The investment will focus heavily on upgrading telecommunications, strengthening cybersecurity, and acquiring advanced military equipment. Sánchez noted that contemporary threats extend beyond conventional warfare, citing drone attacks, cyber sabotage, and disinformation campaigns as new arenas of conflict.
“Europe’s enemies are using everything from unmanned drones to social media to weaken our democracies,” he said, warning of attacks on infrastructure and public services via AI and quantum computing.
Sánchez also referenced Vladimir Putin’s “neo-imperialism,” calling it a threat to all of Europe—regardless of proximity to the frontlines in Ukraine. He framed Spain’s increased commitment as part of a broader European push for unity and security.
“The security of Ukraine and Eastern Europe is the security of Spain,” he said. “Ukraine resists, Europe responds, and Spain fulfils its obligations.”
Addressing concerns from within his own government, Sánchez assured the public that the additional defence spending would not result in tax hikes, cuts to social programs, or increased deficits. However, some coalition partners, particularly those from the leftwing Sumar platform, criticized the scale and focus of the plan, calling it “incoherent” and “exorbitant.”
The move comes amid renewed pressure from the United States to increase defence spending across the NATO alliance. Earlier this year, former U.S. President Donald Trump urged NATO members to raise their contributions to 5% of GDP. Current NATO Secretary-General Mark Rutte has echoed calls for increased investment, warning that inaction could prompt further demands from Washington.
Last month, Rutte said that countries like Spain, Portugal, Belgium, and Italy were already responding to the pressure. “I’m asking you to reach the 2% by the summer,” he said, adding, “If not, you might hear from someone far less patient in Washington.”