Israel reduced its budget after the intensity of the conflict in Gaza diminished.
Iran also showed a decline in real terms, affected by inflation.
Latin America with moderate growth
In South America, spending grew by 3.4%
.
Brazil led the region with an increase of 13%.
Other countries also increased their budgets in a context of regional tensions.
An increasingly militarized world
The SIPRI report is clear: the increase responds to the multiplication
of conflicts.
The combination of active wars and geopolitical rivalries pushes spending to historic levels.
And all indications are that the trend will continue.
The world is entering a phase where investment in defense is once again a central priority.
Global military spending returned to an all-time high. In 2025, the world spent 2.89 trillion dollars on defense, representing an increase of
2.9% year-on-year.
The data comes from a report by the Stockholm International Peace Research Institute, which confirms a sustained trend: there are already eleven consecutive years of growth.
A historic level in relation to global GDP
Military spending reached 2.5% of global output.
This is the highest level since 2009, in a context marked by open conflicts and geopolitical tensions.
According to the report, the trend will not only continue, but it could accelerate in the coming years.
Europe leads growth The
main driver of the increase was Europe
.
The continent registered an increase of 14%, reaching 864 billion dollars.
This is the biggest increase in Central and Western Europe since the end of the Cold War.
Countries such as Germany and Spain boosted this increase with strong increases in their budgets.
The
US reduces spending, but remains the leader
. US spending fell by 7.5%, to 954
billion dollars.
The drop is explained by the suspension of military aid to Ukraine.
Even so, the United States remains the country that invests the most in defense.
China and Russia consolidate their weight
China and Russia continue to expand their spending
.
China reached 336,000 million dollars and has maintained an upward trend for three decades.