Global military expenditure reached an unprecedented $2.72 trillion in 2024, marking a 9.4% rise from the previous year and the sharpest annual increase since the end of the Cold War, according to a new report from the Stockholm International Peace Research Institute (SIPRI).
The report highlights that heightened geopolitical tensions drove military spending higher across all world regions, with particularly notable growth in Europe and the Middle East. SIPRI noted that more than 100 countries increased their defense budgets last year, often prioritizing military security over other critical areas of public spending — a shift that could have lasting economic and social consequences.
In Europe, military expenditure, including Russia’s, surged by 17%, pushing the continent’s total spending beyond levels last seen at the Cold War’s conclusion. Russia alone spent an estimated $149 billion on its military in 2024, a dramatic 38% increase compared to 2023, and twice the amount it spent in 2015. Military spending accounted for 7.1% of Russia’s GDP and made up 19% of its total government expenditure.
Meanwhile, Ukraine’s military spending rose by 2.9% to $64.7 billion, equivalent to about 43% of Russia’s defense budget. Ukraine faced the heaviest military burden of any nation in 2024, dedicating 34% of its GDP to defense. According to SIPRI, Ukraine currently uses all its tax revenue to fund its military efforts, a situation that poses serious challenges for future fiscal sustainability.
In the United States, military spending climbed by 5.7% to reach $997 billion. The U.S. accounted for 66% of total NATO military expenditures and 37% of global defense spending, reinforcing its position as the world’s largest military spender.
SIPRI’s findings underscore how a new era of geopolitical rivalry is reshaping national budgets around the world, with potential repercussions that could extend far beyond defense.
