Developments in Military Expenditure and the Effects of the War in Ukraine

Abstract

ABSTRACT This article presents on trends in military spending, building on the most recent military expenditure data by the Stockholm International Peace Research Institute (SIPRI). World military spending grew for the eighth consecutive year in 2022, up 3.7 per cent to an all-time high of $2240 billion. The increase in world spending in 2022 was largely due to three factors: Russia’s invasion of Ukraine; the increase in military spending by Central and Western Europe countries as a reaction to the invasion and expenditure rises in major powers in Asia, namely China, India and Japan. There were two major military expenditure related developments in 2022 linked to the war in Ukraine. Firstly, Central and Western European responded to the deteriorating security situation by announcing plans to substantially increases their military spending. Some of the acutest increases in military spending took place in countries with close geographical proximity to Russia and Ukraine. Secondly were the immediate and record levels of military aid sent to Ukraine. Based on official figures for the largest donors and other assistance funds, at least $30 billion worth of military aid was given to Ukraine in 2022, with the US as the largest provider accounting for around two-thirds of all military aid