What’s in a Number? Making NATO’s 1.5% Spending Goal Work for European Resilience

NATO allies are expected to adopt a new defence spending target of 5% of GDP at the upcoming The Hague Summit. While this marks a significant increase from the previous 2% goal, the real innovation lies in its structure: 1.5% is earmarked for areas beyond traditional military defence. Unlike the clearly defined 3.5% military component,…

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Strengthening central bank financial resilience in a changing world

As major central banks, including the US Federal Reserve, the Bank of England, the Deutsche Bundesbank, and the ECB, record substantial operating losses and suspend remittances to respective ministries of finance and treasuries, the debate over central bank financial resilience is shifting from academic circles to mainstream policy discussions. Central bank financial strength is not…

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