In 2024, the R&D budget for defense in Germany is projected to be 5.42% of the Total Government Budget Appropriations or Outlays for R&D (GBARD). This is expected to gradually increase over the following years, reaching 5.62% by 2028. The year-on-year percentage variations show consistent growth: 2025 (1.11%), 2026 (1.09%), 2027 (0.72%), and 2028 (0.72%). The Compound Annual Growth Rate (CAGR) from 2024 to 2028 is approximately 0.99%.
Future trends to watch for include increased investments in cybersecurity and advanced technologies, driven by heightened security concerns and rapid technological advancements. Additionally, policy changes and shifts in geopolitical dynamics could significantly impact the defense R&D budget allocation.
