Iran Military Spending
Iran spends an estimated 2.6% of GDP on its military in 2026; its most recent reported expenditure in US dollars is $7.5 billion (2025).
Defense budget and military expenditure data (1960–2027)
Data updated: July 7, 2026
Key Facts (2026 estimate)
Military Expenditure
$7.8 billion
Ranked #38 of 153 countries worldwide
Percent of GDP
2.6%
Ranked #47 of 163 countries by % of GDP
Year-over-Year Change
+5.0%
From $7.5B in 2025
Historical Peak Spending
$10.6 billion
Reached in 1976
How the 2026 figures are produced. The share-of-GDP figure is a per-country estimate researched from announced and enacted national defence budgets. The dollar figure is not a per-country forecast — it is the actual SIPRI figure for 2025 raised by a flat 5%, the same rate applied to every country in this group, so it can rise even where the share-of-GDP path falls. Actual SIPRI figures for Iran run to 2025.
Iran Defense Budget Summary
In 2026, Iran is estimated to have spent $7.8 billion on military and defense, representing 2.6% of the country's Gross Domestic Product (GDP). This budget covers the armed forces including army, navy, and air force expenditures. Iran is the #38 highest military spender in the world by absolute spending.
Compared to the previous year (2025), defense spending increased by 5.0%, from $7.5 billion to $7.8 billion. This change in the military budget reflects growing defense priorities.
The highest percentage of GDP allocated to defense spending was 12.1% in 1975. The historical average military budget is 3.9% of GDP.
Data source: SIPRI Military Expenditure Database. Values are in constant 2024 US dollars. Data for 2026 is an estimate based on government budget announcements.
Historical Military Spending
Military Spending (% of GDP)
Military Spending (USD Billions, 2024 prices)
Historical Data
| Year | Percent of GDP | USD (millions) |
|---|---|---|
| 2027(estimate) | 2.50% | $8,195M |
| 2026(estimate) | 2.60% | $7,823M |
| 2025 | 2.09% | $7,450M |
| 2024 | 2.22% | $7,892M |
| 2023 | 2.49% | $8,829M |
| 2022 | 2.24% | $8,357M |
| 2021 | 2.32% | $7,946M |
| 2020 | 2.18% | $6,538M |
| 2019 | 2.15% | $6,286M |
| 2018 | 2.36% | $7,513M |
| 2017 | 2.84% | $8,455M |
| 2016 | 2.80% | $7,515M |
| 2015 | 2.56% | $6,546M |
| 2014 | 2.12% | $6,156M |
| 2013 | 2.18% | $6,175M |
| 2012 | 2.69% | $7,667M |
| 2011 | 2.38% | $7,364M |
| 2010 | 2.79% | $8,533M |
| 2009 | 3.05% | $8,386M |
| 2008 | 2.68% | $8,015M |
| 2007 | 2.65% | $8,331M |
| 2006 | 3.32% | $9,060M |
| 2005 | 3.04% | $7,566M |
| 2004 | 2.83% | $6,363M |
| 2003 | 2.41% | $4,924M |
| 2002 | 2.17% | $4,219M |
| 2001 | 2.42% | $3,919M |
| 2000 | 2.30% | $3,521M |
| 1999 | 2.40% | $3,198M |
| 1998 | 2.63% | $3,162M |
| 1997 | 2.50% | $3,159M |
| 1996 | 2.24% | $2,832M |
| 1995 | 2.15% | $2,568M |
| 1994 | 2.07% | $2,618M |
| 1993 | 1.70% | $2,121M |
| 1992 | 1.79% | $1,812M |
| 1991 | 2.17% | $2,087M |
| 1990 | 2.94% | $2,315M |
| 1989 | 4.56% | $2,608M |
| 1988 | 6.27% | $3,526M |
| 1987 | 5.89% | $3,814M |
| 1986 | 6.08% | $4,157M |
| 1985 | 6.51% | $5,190M |
| 1984 | 6.35% | $4,967M |
| 1983 | 7.10% | $5,699M |
| 1982 | 7.91% | $6,076M |
| 1981 | 8.19% | $5,655M |
| 1980 | 5.34% | $3,801M |
| 1979 | 5.80% | $4,688M |
| 1978 | 11.11% | $8,416M |
| 1977 | 10.19% | $8,845M |
| 1976 | 11.25% | $10,562M |
| 1975 | 12.07% | $9,373M |
| 1974 | 8.75% | $6,893M |
| 1973 | 1.86% | $994M |
| 1972 | 2.28% | $929M |
| 1971 | 3.05% | $1,069M |
| 1970 | 5.86% | $1,717M |
| 1969 | 5.97% | $1,593M |
| 1968 | 5.18% | $1,275M |
| 1967 | 4.46% | $972M |
| 1966 | 3.82% | $764M |
| 1965 | 3.25% | $594M |
| 1964 | 2.88% | $472M |
| 1963 | 2.59% | $406M |
| 1962 | 2.31% | $348M |
| 1961 | 2.35% | $337M |
| 1960 | 2.29% | $324M |