Luxembourg plans to make a long-term commitment to invest 2% of its gross national income (GNI) and increase the country’s efforts within NATO, Frieden said in a press release issued by the Ministry of State on Friday. The previous government had already announced this decision in July to mark the occasion of the NATO summit.
However, this consists of an exception for Luxembourg, taking the Duchy’s gross national income into account to calculate the 2%, rather than Luxembourg’s high GDP (gross domestic product), which is the measure used by other countries.
Over the next few years, Luxembourg’s investments will continuously increase to reach more than a billion euros by 2028. Figures from the Ministry of Defence estimate the country’s contribution to reach nearly 660 million in 2024.
Frieden specified that the government would draw up an internal plan to reach 2% in the medium term, with a deadline of July 2024.
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