Military Spending of the Countries

• 26 Apr 2022

For Prelims: Highlights of the Report

For Mains: Need for Military Spending and associated Concerns

Why in News?

According to the latest data published by Stockholm International Peace Research Institute (SIPRI), world military spending continued to grow in 2021, reaching an all-time high of USD 2.1 trillion despite the economic fallout of the pandemic.

• As a result of a sharp economic recovery in 2021, the global military burden—world military expenditure as a share of world Gross Domestic Product (GDP)—fell by 0.1 percentage points, from 2.3% in 2020 to 2.2% in 2021.

What is SIPRI?

• The SIPRI is an independent international institute dedicated to research into conflict, armaments, arms control and disarmament.
• It was established in 1966 in Stockholm (Sweden)

What is the Scenario of the World?

• Top Spenders:
  • The five largest spenders in 2021 were the US, China, India, the UK and Russia.
  • They accounted together for 62% of expenditure and the US and China alone accounted for 52%.
• Asia and Oceania:
  • The military spending in Asia and Oceania totaled USD586 billion in 2021.
    • Spending in the region was 3.5% higher than in 2020, continuing an uninterrupted upward trend dating back to at least 1989.
    • The increase in 2021 was due primarily to growth in Chinese and Indian military spending.
      • Together, the two countries accounted for 63% of total military expenditure in the region in 2021.
• Increased Spending in Russia:
  • Russia increased its military expenditure by 2.9% in 2021, to USD65.9 billion, at a time when it was building up its forces along the Ukrainian border.
• NATO Members Spending:
  • Eight European North Atlantic Treaty Organization (NATO) members reached the Alliance’s target of spending 2% or more of GDP on their armed forces in 2021.
    • This is one fewer than in 2020 but up from two in 2014.

What are the Highlights about India?

• India’s military spending of USD76.6 billion ranked third highest in the world.
  • This was up by 0.9% from 2020 and by 33% from 2012.
• Amid ongoing tensions and border disputes with China and Pakistan that occasionally spill over into armed clashes, India has prioritized the modernization of its armed forces and self-reliance in arms production.
• In a drive to strengthen the indigenous arms industry, 64% of capital outlays in the 2021 Indian military budget were earmarked for acquisitions of domestically produced arms.

Source: TH