GDP Duel at the Summit: Morocco 15th Global in Defense Spending, Behind Algeria in War Economy

– bySaid · 2 min read
GDP Duel at the Summit: Morocco 15th Global in Defense Spending, Behind Algeria in War Economy

Morocco’s military budget reached an unprecedented level in 2025. This increase reflects a regional arms buildup in North Africa, marked by persistent tensions with Algeria and purchases of Spanish equipment.

In 2025, the kingdom spent 5.4 billion euros on defense, marking a 14.9% increase compared to the previous year. With 3.54% of its GDP allocated to the military, Morocco becomes the fifteenth nation devoting the highest economic proportion to this sector. It remains, however, the second African budget behind Algeria. The neighboring country has raised its spending to 8.83% of its GDP, ranking second globally behind Ukraine. According to data relayed by the media El Independiente, the Stockholm International Peace Research Institute (SIPRI) explains this arms race by the "historical tensions between the two countries, particularly around the disputed territory of Western Sahara, which continued to intensify in 2025."

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This dynamic occurs as Spain also strengthens its own military muscle to meet NATO objectives, with a budget jumping to 34 billion euros in 2025. Recently, Spanish Eurofighter fighter jets flew over Ceuta during a movement exercise without live fire. This maneuver generated some unease within the Moroccan press, which perceived it as a show of force near its borders, although the governments of Madrid and Rabat maintained strict official silence on the subject.

Despite these media frictions and episodes of tension linked to irregular immigration, bilateral cooperation in armament is consolidating. For the first time in nearly forty years, Spain concluded a major naval sale with the kingdom. The public company Navantia is tasked with building an Avante 1800-type ocean patrol vessel for the Moroccan navy. The ship has already completed the manufacturing stage and is currently undergoing sea trials in Cadiz, pending its delivery scheduled for mid-2026.

On Bladi.net : Record exchanges, but soaring debt: the Morocco-Spain paradox

Spanish military equipment flows to Morocco are experiencing remarkable growth. According to figures from the Trade Secretariat of the Iberian Ministry of Economy, exports increased by more than 40% during 2025. The value of these exchanges rose from 21 million to 29.6 million euros in the span of one year. These commercial transactions concentrate particularly on shipments categorized under "weapons of war" as well as "bombs, grenades and torpedoes."