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Lithuania will raise its defence spending to 5.38 per cent of GDP next year, surpassing the five-per-cent benchmark urged by US President Donald Trump for NATO members, Prime Minister Inga Ruginienė announced on Wednesday.
Describing the figure as “a record,” Ruginienė said the increase would be incorporated into the government’s 2026 budget proposal, which is set to be presented to parliament.
The move reflects growing concerns over regional security following Russia’s invasion of Ukraine in 2022.
This year, Lithuania devoted 4.05 per cent of its GDP — around €3.34 billion (£2.83 billion) — to defence.
“We are moving at the same pace as our neighbours and strategic partners, as everyone understands that our region must today pay great attention to defence,” Ruginienė said, emphasising that the new budget includes not only military expenditures but also critical infrastructure investments, such as road improvements leading to army training areas.
Neighbouring Estonia is also preparing to meet NATO’s five per cent spending target next year, while Latvia has allocated 4.9 per cent of its GDP for defence, according to its 2026 budget proposal.
Poland, the largest nation on NATO’s eastern flank, will likewise increase its defence budget to 4.8 per cent of GDP.
In June, the 32-member NATO alliance agreed to substantially boost defence spending to five per cent of GDP within the next decade under pressure from Trump.
However, a compromise was reached allowing member states to count certain security-related expenditures, including critical infrastructure, towards the total.
Despite these pledges, more than a quarter of NATO countries are still falling short of the previous two per cent spending goal set in 2014, according to the alliance’s latest estimates.
