Post-Cold War, defense budgets decreased significantly, falling to 1.4% by 2000. This reduction aligned with Europe’s broader peace dividend and the prioritization of non-military sectors. A slight resurgence in the 2020s, reaching 1.6% in 2022, reflects the Netherlands’ response to renewed geopolitical tensions, including NATO's increased focus on collective security in light of conflicts like Russia's actions in Ukraine.
For a broader context, visit other statistics on Netherlands’ annual GDP growth rate, Netherlands’ government debt to GDP ratio, Netherlands’ population density.