logo
Sweden and the Netherlands say before NATO summit they will spend 5% of GDP on defense

Sweden and the Netherlands say before NATO summit they will spend 5% of GDP on defense

Associated Press16 hours ago

BRUSSELS (AP) — Less than two weeks before a NATO summit, Sweden and the Netherlands said Friday that they intend to increase defense spending to 5% of their gross domestic product, in line with U.S. President Donald Trump's demands.
Trump and his NATO counterparts meet for a summit in the Netherlands on June 24-25, where they're due to agree a new defense spending target. He insists that Europe must look after its own security, while Washington focuses on China and its own borders.
Swedish Prime Minister Ulf Kristersson said that 'Sweden will reach a new NATO spending target to 5% of GDP, where at least 3.5% of GDP will be allocated towards core defense requirements to fulfill NATO's new capability targets.'
'We are in a specific geographical situation where we need to meet the future threats from Russia,' Kristersson told reporters in Stockholm, standing alongside NATO Secretary-General Mark Rutte.
After Russia launched its full-scale invasion of Ukraine on Feb. 24, 2022, NATO's 32 allies agreed to spend at least 2% of GDP on their military budgets. But NATO's new plans for defending Europe and North America against a Russian attack require investment of at least 3%.
The aim now is to raise the bar to 3.5% for core defense spending on tanks, warplanes, air defense, missiles and hiring extra troops. A further 1.5% would be spent on things like roads, bridges, ports and airfields so armies can deploy more quickly, as well as preparing societies for possible attack.
According to the most recent NATO figures, Sweden was estimated to have spent 2.25% of its GDP on defense last year. The Netherlands spent 2.06%, among 22 of the 32 allies who reached NATO's old benchmark.
The Dutch caretaker government announced on Friday that it would increase spending on defense to 3.5% of GDP in an effort to meet the 5% goal. It's not clear where the approximately 18 billion euros ($20 billion) will come from.
Dutch Defense Minister Ruben Brekelmans called the decision 'historic' and told reporters after a Cabinet meeting that he hoped other NATO countries would also increase their spending.
'My expectation is that this will happen,' he said.
Poland and the Baltic countries — Estonia, Latvia and Lithuania — have already publicly committed to 5%, and Rutte said last week that most allies were ready to endorse the goal.
A big question still to be answered is what time frame countries will get to reach the new spending goals. A target date of 2032 was initially floated, but Rutte has said that Russia could be ready to launch an attack on NATO territory by 2030.
The United States insists that a near-term deadline must be set. But Italian Foreign Minister Antonio Tajani said on Thursday that his country would get to 5%,. but would require a decade to do so.
___
Molly Quell reported from The Hague, Netherlands.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

5 top FTSE 100 stocks offering plenty of global growth for an ISA
5 top FTSE 100 stocks offering plenty of global growth for an ISA

Yahoo

time18 minutes ago

  • Yahoo

5 top FTSE 100 stocks offering plenty of global growth for an ISA

The FTSE 100 is made up of the largest companies listed in London. But this doesn't mean that most stocks are UK-focused, far from it. In fact, it's quite straightforward to build a Stocks and Shares ISA portfolio of FTSE 100 shares that offer truly global exposure. Here are five that would certainly do the job. Let's start with the largest stock by market cap in the Footsie today: AstraZeneca (LSE: AZN). This healthcare giant has truly global operations, spanning the areas of oncology, respiratory and immunology, rare diseases, and more. This year, the firm is expected to rake in $57.5bn in revenue, with a net profit of about $14bn. And it generates this from nearly everywhere, including China and Japan. Region % of total revenue (2024) US 40% Europe 16% China 12% UK 9% Japan 6% Rest of world 17% As we can see, investors in AstraZeneca are getting diversified exposure to the whole of the developed world. The reason the US is such a sizeable part is because it has the largest healthcare system of them all. The stock has fallen 17.5% since the end of August, putting it on a forward price-to-earnings (P/E) ratio of 15.5. For a profitable firm of this calibre, which also offers a 2.3% dividend yield, I think that's very attractive. Turning to another FTSE 100 giant now, we have HSBC (LSE: HSBA). The bank is increasingly focused on Asia these days, as that's where most of the world's growth is expected to come from in future. Indeed, according to the Asian Development Bank, Asia's middle class is set to swell to roughly 3bn people by 2050. With HSBC increasingly focused on wealth management in the region, the long-term growth story looks very promising. This year, the bank is expected to earn around $23bn on revenue of almost $67bn. The stock is offering an attractive 5.8% dividend yield. The third stock is Airtel Africa. As the name implies, the firm's operations extend across Africa. Specifically, Airtel is a provider of telecommunications and mobile money services to 166m people in 14 countries in sub-Saharan Africa. The share price has been on a tear, surging 55% this year alone. However, it still looks decent value to me, trading at 12.5 times next year's forecast earnings. There's also a well-supported 2.8% dividend yield. Finally, for even more global portfolio exposure, investors could consider Coca Cola HBC and Coca-Cola Europacific Partners. These are both bottling partners for the US beverage giant, selling brands like Coca-Cola, Fanta, Sprite, and Monster. The former's markets include Western Europe and the Asia-Pacific region, including Australia, New Zealand, and the Philippines. The other's portfolio is more weighted toward emerging and developing markets, including Poland, Romania, Nigeria, and Egypt. Naturally, none of these five stocks are totally risk-free. The Coca-Cola bottlers could suffer during a severe global economic downturn, as this would put pressure on consumer spending. Meanwhile, HSBC and AstraZeneca may fall foul of regulatory changes in China, especially if trade tensions with the US worsen at some point. Finally, most of Airtel Africa's revenue is collected in local African currencies, but it's reported in US dollars, exposing the company to currency risk. Nevertheless, adding these stocks to an ISA would make it truly global, with vast exposure to Europe, America, Africa, and Asia. The post 5 top FTSE 100 stocks offering plenty of global growth for an ISA appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool HSBC Holdings is an advertising partner of Motley Fool Money. Ben McPoland has positions in AstraZeneca Plc, Coca-Cola Hbc Ag, and HSBC Holdings. The Motley Fool UK has recommended Airtel Africa Plc, AstraZeneca Plc, and HSBC Holdings. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

'No Kings' demonstrators to gather across Greater Cincinnati in opposition to Trump
'No Kings' demonstrators to gather across Greater Cincinnati in opposition to Trump

Yahoo

time42 minutes ago

  • Yahoo

'No Kings' demonstrators to gather across Greater Cincinnati in opposition to Trump

A string of protests is planned throughout Greater Cincinnati as part of a nationwide movement opposed to President Donald Trump and his administration. The June 14 "No Kings" protests, organized by activist group Indivisible and its partners, are described as a "nationwide day of defiance." Events are slated to take place in nearly 2,000 communities across the nation to oppose what organizers describe as "corrupt, authoritarian politics." Numerous protests are scheduled to take place in the afternoon locally throughout Greater Cincinnati, including: Cincinnati – University Pavilion (University of Cincinnati): 2618 University Circle, Cincinnati, Ohio 45219. Union Township – Veterans Memorial Park: 906 Clough Pike, 45245. Loveland – Loveland Elementary School: 600 Loveland-Madeira Road, Loveland, Ohio 45140. Mason – Intersection of Mason Montgomery Road and Tylersville Road, 45040. West Chester Township – Intersection of Tylersville Road and Cox Lane, 45069. Hamilton – Intersection of South Martin Luther King Junior Boulevard and High Street, 45011. Middletown – Towne Mall: 3461 Towne Blvd., 45005. Oxford – Uptown Park: intersection of Main Street and High Street, 45056. Falling on Flag Day and Trump's birthday, the day of protest is intended to help counter Trump's planned Washington, D.C. military parade. It also coincides with large-scale protests in Los Angeles, which erupted in response to Trump's immigration policy. The U.S. Immigration and Customs Enforcement agency is carrying out a directive from Trump to find immigrants living in the United States without legal status. The aggressive crackdown has fueled anger and protests in Los Angeles and across the country, which have led to hundreds of arrests amid occasional violent clashes, vandalism and looting. Hundreds of demonstrators gathered on June 8 outside the Butler County Jail to protest the arrest of 19-year-old Honduran immigrant Emerson Colindres, who was detained by ICE agents on June 4 during a routine check-in with immigration officials at the agency's office in Blue Ash. The Enquirer will have reporters covering the protests and will update this story. USA TODAY contributed to this report. This article originally appeared on Cincinnati Enquirer: 'No Kings' protests on June 14 to counter Trump, military parade in DC

President Trump approves partnership between U. S. Steel and Nippon Steel
President Trump approves partnership between U. S. Steel and Nippon Steel

Business Insider

timean hour ago

  • Business Insider

President Trump approves partnership between U. S. Steel and Nippon Steel

United States Steel (X) and Nippon Steel (NPSCY) together with its wholly owned subsidiary Nippon Steel North America, announced that President Trump has approved the companies' historic partnership that will unleash unprecedented investments in steelmaking in the United States, protecting and creating more than 100,000 jobs. On May 30, 2025, the partnership was celebrated by thousands of steel workers with President Trump at U. S. Steel's Irvin Plant of Mon Valley Works in West Mifflin, Pennsylvania. In addition to President Trump's Executive Order approving the partnership, the Companies have entered into a National Security Agreement with the U.S. Government. The NSA provides that approximately $11B in new investments will be made by 2028, which includes the initial investment in a greenfield project that would be completed after 2028. The NSA also includes commitments related to governance, domestic production, and trade matters. Along with President Trump's Executive Order, the companies have completed the U.S. Department of Justice review process. With those approvals, all necessary regulatory approvals for the partnership have now been received, and the partnership is expected to be finalized promptly. Confident Investing Starts Here:

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store