Denmark will boost its defense spending to more than 3% of economic output as the nation seeks to counter an escalation in security threats from Russia.

Russia could be willing to use force against European NATO countries if it perceives NATO as weakened or divided, Denmark's defense intelligence agency said.

Denmark's Clara Tauson reacts during the Dubai Duty Free Tennis Championship final match against Russia's Mirra Andreeva in Dubai, United Arab Emirates, on Saturday, Feb. 22, 2025. (AP Photo/Altaf Qad

The country’s defence budget would increase to over 3.2 per cent of GDP, as Nato nations face pressure from Trump to increase spending.

Secretary of State Marco Rubio insisted that President Donald Trump’s desire to acquire the Danish territory of Greenland is “not a joke.” At least one person, Russian President Vladimir Putin, is taking it very seriously.

The Danish government has announced plans to bolster its military by setting up a 50 billion-kroner ($7 billion) fund that it says will raise the country’s defense spending to more than 3% of gross domestic product this year and next.

Prime Minister Mette Frederiksen has announced Denmark will raise the defence spending to 3% of the GDP with a hike of $7 billion over the next two years

In an exclusive interview, Mette Frederiksen discusses the incident and new transatlantic tensions over NATO and Ukraine.

Russia could be ready for a large-scale war in Europe within the next five years if the war in Ukraine were to end or freeze, and NATO refrains from rearming. Source: DR, citing an assessment by the Danish Defence Intelligence Service (FE),

Denmark will increase its military budget by a combined 50 billion crowns ($6.99 billion) this year and next to address acute shortcomings, most notably in surface-to-air missile defence systems, the prime minister said on Wednesday.

Intelligence agency assesses there is currently no threat of a regular military attack on Denmark, but same cannot be said about Greenland and Faroe Islands