• NATO leaders agree to allocate 5% of GDP for defense by 2035 at The Hague summit.
• The new spending goal includes 3.5% for core military needs and 1.5% for security-related expenditures.
• Spain announces it will not meet the 5% goal due to economic constraints.
• Concerns arise about the potential diversion of funds from social services and the environment.
• The agreement reflects heightened security threats, particularly from Russia and terrorism.

NATO's 32 member states, during a summit in The Hague, committed to a significant increase in defense spending, pledging to allocate 5% of their GDP annually by 2035. This move came as a response to pressure from US President Donald Trump, who remarked that this commitment was "something that no one really thought possible," marking a pivotal shift in military funding aimed at addressing perceived security threats from Russia and other challenges, according to trtglobal, thejakartapost, and Al Jazeera.

The agreement stipulates that 3.5% will be dedicated to core military expenditures, which will include military capabilities, while 1.5% will be allocated for broader security-related investments, such as infrastructure improvements and cybersecurity. These numbers reflect NATO's strategic shift to enhance collective defense capabilities amid ongoing threats, particularly after Russia's actions in Ukraine which have heightened security concerns globally, according to Dawn and Anadolu Agency.

However, not all member nations are on board with the spending increase. Spain's Prime Minister Pedro Sánchez emphasized that Spain would only allocate 2% of its GDP towards defense, citing economic challenges and the need to fund social services. He remarked, "If we had accepted 5 percent, Spain would have to spend... an extra 300 billion euros on defense," highlighting the difficult trade-off between defense spending and domestic welfare priorities, according to The Hill and CBS News.

Criticism surrounding the 5% target also revolves around its potential implications for social welfare and environmental funding. The heightened military expenditure is expected to divert resources from essential public services, contradicting societal needs as many citizens struggle with basic living costs. Analysts predict that while the goal aims to bolster military readiness, it may exacerbate existing economic disparities and environmental challenges, which is a concern echoed by commentators highlighting NATO's prioritization of military over humanitarian and ecological needs, as reported by Al Jazeera.

In light of these developments, the alliance's plan signifies not only a tactical shift in addressing global security issues but also a contentious debate regarding the balance between military spending and other pressing societal needs. Additionally, the commitment requires a review in 2029 to assess NATO countries' progress toward these ambitious spending targets amidst evolving geopolitical landscapes, according to South China Morning Post and Le Monde.