Germany Drives Regional Growth Amid Russian Aggression

Defense spending in Europe has increased significantly, driven primarily by big investments from Germany, according to a new report from The International Institute for Strategic Studies (IISS). The report notes that Europe accounted for over 21 percent of global defense spending in 2025, up from 17 percent in 2022. Germany’s defense spending passed the $100 billion mark in 2025, with European NATO members spending an average of 2.16 percent of GDP on defense. The report was published on the fourth anniversary of Russia’s invasion of Ukraine, and its findings were first reported by Breaking Defense.