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The escalating cross-border tensions between India and Pakistan have brought their respective military expenditures into sharp focus. A recent report by the Stockholm International Peace Research Institute (SIPRI) sheds light on the stark contrast in defence spending between the two nations. India, ranking among the top five global defence spenders, allocated a substantial $86.1 billion to its military in 2024, marking a 1.6% increase from the previous year. Conversely, Pakistan's defence budget stood at $10.2 billion in 2024, reflecting a 5.1% decrease. This translates to India spending approximately nine times more on defence than Pakistan, highlighting a significant disparity in their military capabilities and strategic priorities. This difference isn't just a snapshot in time; it reflects a widening gap built up over years of differing economic performance, strategic alignments, and internal security challenges.
The trends over the past decade further emphasize this divergence. India has consistently augmented its defence expenditure, witnessing a remarkable 67% surge from $51.29 billion in 2015 to $86.12 billion in 2024. In contrast, Pakistan's defence spending experienced a modest 6% increase from $9.5 billion in 2015 to $10.16 billion in 2024. While India's military spending has grown steadily each year, with a peak surge of 13.99% in 2017, Pakistan has faced fluctuations, including substantial cuts in certain years. The most significant reduction occurred in 2023, when Pakistan slashed its defence expenditure by 16.7% from $10.35 billion in 2022 to $8.62 billion in 2023. These fluctuations in Pakistan’s defense budget highlight the economic and political instability the nation has experienced over the past several years. These fluctuations also highlight the difficulty Pakistan has in maintaining pace with India's defense budget. India's steady and substantial increases underscore its commitment to modernizing its armed forces and maintaining its regional dominance.
Despite the substantial difference in absolute spending, the proportion of GDP allocated to defence reveals a nuanced perspective. In 2024, India's defence expenditure constituted 2.27% of its GDP, while Pakistan's share was 2.67%. Historically, Pakistan has consistently allocated a larger percentage of its GDP to defence compared to India. However, recent trends indicate a slight downward trajectory in the defence share of GDP for both countries over the past five years. The fact that Pakistan spends a higher percentage of its GDP than India on defense showcases Pakistan’s commitment to defense and security matters. It also shows that Pakistan has fewer resources available to spend on other societal issues such as health, education, and infrastructure. The downward trend for both countries could suggest a shift in economic priorities or a growing reliance on diplomatic solutions to regional conflicts. India’s large overall spending along with it being a slightly smaller percentage of GDP suggests its economy is continuing to grow at a high pace and that it is able to fund many different sectors of the economy without one sector taking too great of a burden.
Globally, the United States remains the undisputed leader in military expenditure, with a staggering $997 billion allocated in 2024. This figure accounts for approximately 37% of global military spending and 66% of the combined spending by NATO member states. China, Russia, and Germany followed the US in military expenses, with India securing the fifth position. The dominance of the United States highlights its global security commitments and its vast military-industrial complex. China's rapidly growing defence budget reflects its increasing geopolitical ambitions and its focus on modernizing its armed forces. Russia’s high defense spending is indicative of the ongoing conflict in Ukraine and its broader strategic goals. India's position among the top five global defence spenders underscores its growing influence in the Indo-Pacific region and its determination to safeguard its national interests. India’s placement also solidifies its position as a regional superpower. The SIPRI report not only provides a quantitative analysis of defence spending but also offers valuable insights into the geopolitical dynamics shaping the global security landscape. The disparity between India and Pakistan's defence budgets reflects a complex interplay of economic factors, strategic priorities, and regional tensions. Understanding these trends is crucial for policymakers and analysts seeking to promote stability and security in the region. India's large military expenditure compared to Pakistan also leads to an arms race in which both nations try to better equip and improve their militaries to keep pace with one another. This can lead to increased tensions and can lead to unnecessary spending that could be allocated to other societal programs and improvements.
The implications of these trends extend beyond the immediate military capabilities of the two nations. India's substantial defence spending fuels its ambition to become a major global power and a leading provider of security in the Indian Ocean region. It allows India to invest in advanced military technologies, strengthen its defense infrastructure, and expand its strategic partnerships. The increases in spending also lead to a higher likelihood of India being able to be self-sufficient in its military technologies and production and lead to fewer reliance on other nations. Pakistan, on the other hand, faces significant constraints in its defence spending due to its economic challenges and its reliance on external sources of funding. The limited resources available to Pakistan may force it to prioritize certain military capabilities while neglecting others. Pakistan's spending also has to be allocated to its internal security issues as well such as the ongoing internal conflicts it has been experiencing. The disparity in defence spending can also exacerbate the existing power imbalance between the two nations, potentially leading to increased regional instability. The allocation of resources towards defence can also have significant social and economic consequences. High defence spending can divert resources away from essential sectors such as education, healthcare, and infrastructure development. This can have a detrimental impact on the long-term socio-economic development of both countries. The trade-off between defence and development is a critical consideration for policymakers in both India and Pakistan.
Furthermore, the arms race between India and Pakistan raises concerns about nuclear proliferation and the risk of escalation. Both countries possess nuclear weapons, and the potential for a nuclear conflict remains a serious threat. The ongoing tensions along the Line of Control (LoC) and the history of past conflicts underscore the need for effective confidence-building measures and arms control agreements. International mediation and diplomatic efforts are crucial to de-escalate tensions and prevent a catastrophic conflict. The international community must play a proactive role in promoting dialogue and cooperation between India and Pakistan. The SIPRI report serves as a timely reminder of the importance of understanding the dynamics of military spending and its implications for regional and global security. The report's findings should prompt a renewed focus on conflict resolution, arms control, and sustainable development in the South Asian region. The growing defense spending of India also puts pressure on other nations in the region such as China and it can cause them to have to adjust their spending accordingly. The arms race in the region is further exacerbated by the reliance and close ties that Pakistan and India have with China and the United States respectively. India is seen as a counterbalance to the power of China in the region, while Pakistan’s relationship with China also helps counterbalance India's power. The political dynamics of the South Asian region continue to be very complex and understanding the intricacies of defense spending can help with understanding the overall political atmosphere.
In conclusion, the SIPRI report paints a clear picture of the widening gap in defence spending between India and Pakistan. India's substantial and consistent increases in military expenditure reflect its ambition to become a major regional power, while Pakistan faces significant constraints due to its economic challenges and internal security threats. The disparity in defence spending has significant implications for regional stability, arms control, and socio-economic development. It underscores the need for a comprehensive approach to conflict resolution, arms control, and sustainable development in the South Asian region. The international community must remain engaged and committed to promoting dialogue, cooperation, and peace between India and Pakistan. Both countries should prioritize diplomatic solutions to their disputes and invest in socio-economic development to improve the lives of their citizens. The long-term stability and prosperity of the region depend on a commitment to peace, cooperation, and sustainable development. The report also shows the importance of accurate record keeping and the importance of organizations like SIPRI that can help provide this level of insight and analysis. Understanding these types of reports and information is incredibly important to foreign policy decisions of any nation around the globe.
Source: Military might: India's defence spending surged 67% in last decade versus Pakistan's 6%