Italy’s defense ministry has revealed that the country will spend €31.3 billion ($36.2 billion) on defense in 2025, according to a long-anticipated budget document released on Thursday. This represents a 7.2% increase from last year’s budget of just over €29 billion, though the ministry indicated that spending levels are expected to remain steady in 2026 and 2027.
The announcement comes amid growing pressure on Italy to boost its defense expenditure, as NATO urges member states to reach 5% of GDP by 2035, up from the previous 2% target. Last year, Italy’s defense spending amounted to only 1.54% of GDP, but Rome has pledged to achieve the 2% benchmark by 2025. The new budget incorporates several items that were reclassified as defense spending, including pension contributions and portions of the paramilitary Carabinieri police, raising total outlays to €45.3 billion—enough to meet the 2% GDP target.
The document provides a program-by-program breakdown of this year’s expenditures but departs from tradition by not disclosing the total procurement funding for 2025. It does, however, note that procurement funding for the defense ministry will reach €35 billion over the next 15 years. Among this year’s allocations, €100 million is earmarked for upgrading the aging Ariete tanks, €50 million for continuing the development of new Panther tanks with Germany’s Rheinmetall, and €130 million for new Lynx combat vehicles.
As Italy’s planned F-35 fleet expands from 90 to 115 aircraft, €735 million has been allocated to the program, along with €625 million for work on the GCAP fighter in collaboration with the UK and Japan. Officials have also indicated interest in acquiring Japanese Kawasaki P-1 maritime patrol aircraft to counter hostile submarines in the Mediterranean. While the specific platform has not been confirmed, the budget notes plans to procure six aircraft, with an initial €30 million earmarked to launch the program in 2027.
