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NATO Allies have agreed the civil and military budgets for 2021. At a meeting of the North Atlantic Council on Wednesday (16 December 2020), Allies agreed a civil budget of €258.9 million and a military budget of €1.61 billion for 2021. All member countries contribute to these budgets, according to an agreed cost-sharing formula based on Gross National Income.

The civil budget provides funds for personnel, operating costs, and programme expenditures at NATO Headquarters in Brussels, and has risen by 0.9% from the 2020 level. The military budget covers the operating costs of NATO Command Structure headquarters and programmes, missions and operations around the world, and has risen 5% from the 2020 level. In 2021, €254.9 million of the military budget will go toward funding NATO’s missions and operations, including the Resolute Support Mission in Afghanistan; NATO’s training mission in Iraq, and the KFOR peace support operation in Kosovo.

In addition to the civil and military budgets, the Alliance’s third principal common funded element is the NATO Security Investment Programme (NSIP). Covering major construction and command and control system investments, the 2021 ceiling for the NSIP is €710 million.

Through common funding, NATO Allies demonstrate solidarity and come together to address shared security challenges. NATO is committed to ensuring we continue to provide security for our nations in a way that is both effective and financially responsible.