From 2013 to 2023, Germany's government expenditure on military defense as a unit of GDP has shown fluctuations. Starting at 1 in 2013, it saw a slight decrease to 0.9 from 2014 to 2019. In 2020 and 2021, it returned to 1, before dropping back to 0.9 in 2022 and 2023. Key year-on-year variations include -10% in 2014 and 2022, with an 11.11% increase in 2020. The most recent five-year CAGR stands at 0%.
Looking forward, from 2024 to 2028, forecasts indicate a stable increase with expenditures expected to rise back to 1 from 2026 onward, reflecting a 2.13% CAGR and 11.11% growth rate over five years.
Future trends to watch for:
- The impact of geopolitical tensions on defense spending levels.
- Potential shifts in policy under changing government leadership.
- Technological advancements and their effect on defense budgets.
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