Economic superpower “too poor” to raise defence budget?
Germany, largely known as an economic powerhouse, has received quite a bit of flack as of late in the direction of its military and their new defence minister, Ursula von der Leyen.
After the recent NATO summit in Wales, with 28 members in attendance, a renewed agreement to spend 2 per cent of Germany’s yearly Gross Domestic Product (GDP) was reached. However, in recent years, Germany has been cutting their defence spending, currently sitting around 1.3 per cent of GDP. To put this in perspective, this means that the country spends approximately 47.25 billion dollars on military operations, whereas the United States, the world’s superpower, spends around 6.38 trillion.
Though many of the issues that the German government and von der Leyen are facing are linked to the defence minister’s predecessors, the last few months have seen nine different projects experience an over-run on their budget, as well as delays in process. The two most notable issues have been the delayed delivery of weapons to the Kurdish in the fight against ISIS and the delayed deployment of troops to Africa to aid in the Ebola crisis. These issues have called Germany into question by its allies and the international organizations to which it belongs, eroding their abilities to solidify interdependence. In these aforementioned issues, it is the defence minister is being held accountable.
Germany, of course, does not have the best history when it comes to military action, given their involvement in World War One and Two. However, in the years following these militaristic actions, Germany has been noted as extremely pacifist. Perhaps it is not such a surprise that the German government is “gun shy” on increasing its military budget and international presence on the military stage.
Many of those questioning German action as of late have perhaps forgotten this aspect of German history, instead questioning the country’s fiscal abilities. Because Germany is one of the top five economies in the world – most recently ranked fourth – and the strongest economic power in the European Union, this economical focus is odd.
Statements made by the International Monetary Fund and other European Union members paint a different picture of the German economy than that of the questioners. These actors are calling for Germany to increase spending in-country to stimulate the European economy. This could be done through a number of avenues, with defence spending being a viable option. The German government, however, has questioned why it must be the one to stimulate everyone else’s economies by creating national debt and deficits, and has declined to increase spending, as they want to keep their budgets balanced.
With the interdependence of the country being called into question, Germany’s defence minister and the country’s fiscal abilities are often painted in a negative light. However, there may be more to this story than a military that is faltering on missions. With major international organizations and the European Union facing financial issues and turning to Germany for help, Germany has been backed into a corner where the only foreseeable way out may be through the Euro.