Germany met NATO's target to spend 2% of its gross domestic product on defence in 2024, the government said on Monday, though well short of incoming U.S. President Donald Trump's call for as much as 5%.

Germany is grappling with challenges in funding increased defense spending to meet NATOs target of 2% of GDP, with some analysts suggesting an even higher goal of 4%. Commerzbank (ETR:CBKG) highlights the countrys

The return of Trump will once again put European defense spending levels at the center of the United States’ approach to NATO. Over the past several years, NATO members have boosted investments, with about 20 out of 32 members hitting the alliance’s benchmark of spending 2% of gross domestic product on defense.