Key takeaway from the latest data published by the Stockholm International Peace Research Institute (SIPRI), a leading global security think tank.
GS II: International Relations
Dimensions of the Article:
- About SIPRI
- Key points
- Factors driving military spending
- Impact of spending
- Stockholm International Peace Research Institute (SIPRI) is an independent international think-tank institute dedicated to research into conflict, armaments, arms control and disarmament.
- It was established in 1966 at Stockholm (Sweden).
- It provides data, analysis and recommendations, based on open sources, to policymakers, researchers, media and the interested public.
- Countries around the world are spending record amounts on their militaries.
- Stockholm International Peace Research Institute (SIPRI) reports a year-on-year jump of 3.7% in worldwide military expenditure for 2022.
- This marks an all-time high and follows several years of continuously higher spending.
Factors driving military spending:
- Inflation, Russia’s war on Ukraine, and US efforts to outpace China are major factors driving military spending.
- Defense outlays among NATO members have been going up since 2014 due to Russia’s attack on Ukraine.
- Russia may be a flop on the battlefield, but it could still be a potent adversary in cyberspace and maintains a considerable nuclear arsenal.
- Higher military spending is seen as a sign of deterrence to Russia.
Impact of spending:
- The spending spree may not be as pronounced as headlines and policymakers sometimes make it out to be.
- While actual spending is up, as a share of GDP it is 0.1% lower than it was in 2013.
- The discrepancy suggests economic expansion has outpaced national budgets in areas such as defense, even if dollar figures can appear eye-popping.
- Rapid, record inflation has forced governments to spend more just to keep up.
- Inflation has also been a political problem in Germany, which pledged an additional €100 billion for its armed forces in response to Russian aggression.
- Worldwide military spending has hit an all-time high due to inflation, Russia’s war on Ukraine, and US efforts to outpace China.
- Defense outlays among NATO members have been going up since 2014 due to the Russian threat.
- While actual spending is up, as a share of GDP it is 0.1% lower than it was in 2013, suggesting economic expansion has outpaced national budgets in areas such as defense.
-Source: Indian Express