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NATO Summit 2025: Key Changes in Defence Policy & Global Impact – Complete Guide
Struggling to stay updated with the latest current affairs for competitive exams? The 2025 NATO Summit’s groundbreaking 5% defence spending policy is a must-know topic for SSC, PSC, UPSC and other government exams – get the complete guide here!

Why Is This Important for Exams?
Current Affairs Relevance: NATO’s policy changes are frequently asked in SSC, PSC, UPSC, and other government exams.
International Relations: Understanding NATO’s role helps in essay writing and GK sections.
Defence & Economy: The 5% GDP spending rule impacts global security dynamics, a hot topic for competitive exams.
Geopolitical Shifts: The Russia-Ukraine conflict and NATO’s stance are critical for descriptive answers.
NATO Summit 2025: Key Highlights
1. 5% Defence Spending Target
NATO members agreed to increase defence spending to 5% of GDP, breaking down as:
3.5% for core defence (military, weapons, personnel)
1.5% for defence-related projects (infrastructure, cybersecurity, innovation)
Each country must submit annual plans, with progress reviews scheduled after the 2029 US presidential election.
2. Challenges for Member Nations
Most NATO countries historically spent only 2% of GDP on defence.
In 2024, only Poland, Estonia, and Latvia exceeded 3%.
Spain (1.24% spending) faced potential US trade sanctions for non-compliance.
3. Article 5 & Collective Security
Article 5 states that an attack on one NATO member is an attack on all.
Recent geopolitical tensions (like the Russia-Ukraine war) pushed Finland & Sweden to join NATO.
4. Shift in Focus from Ukraine
Under Trump’s leadership, NATO stopped military aid to Ukraine and ruled out its membership.
This marks a major policy shift from previous summits, raising concerns among allies.
5. Changing Relations with Russia
The 2025 summit called Russia a “long-term threat” but avoided direct condemnation.
This reflects Trump’s friendly ties with Putin, signaling a softer NATO stance.
6. Future Implications
The 5% spending rule may strain smaller economies.
Ukraine’s sidelining questions NATO’s commitment to Eastern Europe.
The alliance’s strategic direction could see major changes in the coming years.
Sample Questions & Answers for Competitive Exams
Q1. What was the key defence spending target set in the 2025 NATO Summit?
Ans: NATO members agreed to spend 5% of GDP on defence (3.5% core defence + 1.5% related projects).
Q2. Which three NATO countries spent over 3% of GDP on defence in 2024?
Ans: Poland, Estonia, and Latvia.
Q3. What is Article 5 of NATO’s treaty?
Ans: It states that an attack on one NATO member is considered an attack on all, ensuring collective defence.
Q4. How has NATO’s stance on Ukraine changed under Trump’s leadership?
Ans: NATO halted military aid to Ukraine and ruled out its membership, a major shift from previous policies.
Q5. Why did Finland and Sweden join NATO recently?
Ans: Due to rising security concerns from the Russia-Ukraine conflict.
How to Prepare for Entrance Exams?
Staying updated with current affairs is crucial for exams like SSC, PSC, UPSC, NIFT, and NID. The best way to prepare is by practicing highly predicted questions from trusted sources.
MyEntrance.in provides the most accurate mock tests, study materials, and exam tips to help you score high. Our expert-curated questions align with the latest exam patterns, making your preparation easier and more effective.
The 2025 NATO Summit marks a turning point in global defence policies, making it a must-know topic for competitive exams. Keep revisiting MyEntrance.in for the latest exam updates, mock tests, and preparation guides to stay ahead!
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