Forecast: Government Expenditure on Military Defence by Government Level in Denmark

From 2013 to 2023, Denmark's government expenditure on military defense as a percentage of GDP showed some fluctuations, with notable variations such as a 23.08% decline in 2014 and a 16.67% decline in 2022. The yearly expenditure oscillated but generally stayed around 1.1% of GDP, peaking slightly at 1.3% in 2013 and 1.2% in 2021. The five-year compound annual growth rate (CAGR) as of 2023 stood at -1.89%, indicating a slight overall decline in expenditure relative to GDP.

Future trends to watch for:

• A continuing, albeit modest, decline in military expenditure is predicted, with the CAGR from 2024 to 2028 forecasted at -2.09%.
• Spending expected to drop to 0.9% of GDP by 2028, representing a total decrease of 10% over the forecast period.
• Key factors to monitor will include geopolitical changes, NATO commitments, and domestic fiscal policy adjustments.