On 18 February, the Latvian government took a decision to allocate at least 4% of the country’s gross domestic product (GDP) to defense starting next year.

Latvian Prime Minister Evika Siliņa confirmed the decision.

“Seeing NATO’s goals, we understand that we will have to find ways to allocate no less than 4% of GDP starting next year, but in the coming years, we must move toward 5%,” she stated.

She noted that funds will be allocated after reviewing all ministries’ budgets. Additionally, she mentioned that funding to increase Latvia’s defense spending would come from multiple sources, including the European Union.

Earlier, US President Donald Trump reaffirmed his intention to demand that NATO allies increase their defense spending to 5% of GDP.