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Military expenditure by World Development Indicators (WDI) refers to the financial resources a country allocates for its armed forces. This includes spending on personnel (salaries, pensions), military equipment, infrastructure, operations, and research and development.
Key Takeaways
The UAE's military spending as a share of GDP has demonstrated both consistency and strategic responsiveness to regional dynamics from 1997 to 2014. Spending peaked at 8.63% in 1998, likely influenced by geopolitical tensions and the UAE's efforts to modernize its defense capabilities. The early 2000s saw a gradual decline, with spending falling to 3.23% in 2006, reflecting a period of relative stability and economic diversification.
However, military expenditure rose again during the late 2000s, reaching 6.04% in 2010, partly due to regional instability following the 2008 financial crisis and heightened security concerns in the Gulf. The Arab Spring and the subsequent increase in regional conflicts further sustained military spending, which hovered around 5–6% of GDP from 2011 to 2014. These trends highlight the UAE's commitment to maintaining robust defense capabilities amid evolving regional challenges.
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