Nepal Military Spending
Nepal spends an estimated 1.0% of GDP on its military in 2026; its most recent reported expenditure in US dollars is $429 million (2025).
Defense budget and military expenditure data (1970–2027)
Data updated: July 7, 2026
Key Facts (2026 estimate)
Military Expenditure
$450 million
Ranked #108 of 153 countries worldwide
Percent of GDP
1.0%
Ranked #130 of 163 countries by % of GDP
Year-over-Year Change
+4.9%
From $429M in 2025
Historical Peak Spending
$496 million
Reached in 2017
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 Nepal run to 2025.
Nepal Defense Budget Summary
In 2026, Nepal is estimated to have spent $450 million on military and defense, representing 1.0% of the country's Gross Domestic Product (GDP). This budget covers the armed forces including army, navy, and air force expenditures. Nepal is the #108 highest military spender in the world by absolute spending.
Compared to the previous year (2025), defense spending increased by 4.9%, from $429 million to $450 million. This change in the military budget reflects growing defense priorities.
The highest percentage of GDP allocated to defense spending was 1.7% in 2005. The historical average military budget is 1.1% 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) | 1.00% | $472M |
| 2026(estimate) | 1.00% | $450M |
| 2025 | 0.97% | $429M |
| 2024 | 1.02% | $436M |
| 2023 | 1.12% | $471M |
| 2022 | 1.15% | $479M |
| 2021 | 1.22% | $478M |
| 2020 | 1.32% | $484M |
| 2019 | 1.24% | $471M |
| 2018 | 1.35% | $486M |
| 2017 | 1.48% | $496M |
| 2016 | 1.47% | $431M |
| 2015 | 1.37% | $406M |
| 2014 | 1.43% | $422M |
| 2013 | 1.34% | $374M |
| 2012 | 1.24% | $341M |
| 2011 | 1.35% | $359M |
| 2010 | 1.37% | $348M |
| 2009 | 1.44% | $331M |
| 2008 | 1.40% | $295M |
| 2007 | 1.35% | $280M |
| 2006 | 1.53% | $291M |
| 2005 | 1.69% | $309M |
| 2004 | 1.57% | $280M |
| 2003 | 1.39% | $234M |
| 2002 | 1.27% | $210M |
| 2001 | 0.96% | $158M |
| 2000 | 0.78% | $122M |
| 1999 | 0.77% | $111M |
| 1998 | 0.76% | $103M |
| 1997 | 0.72% | $101M |
| 1996 | 0.73% | $95M |
| 1995 | 0.77% | $96M |
| 1994 | 0.79% | $97M |
| 1993 | 0.84% | $98M |
| 1992 | 0.86% | $94M |
| 1991 | 0.87% | $90M |
| 1990 | 0.88% | $88M |
| 1989 | 0.90% | $84M |
| 1988 | 0.88% | $78M |
| 1987 | 1.16% | $75M |
| 1986 | 1.18% | $74M |
| 1985 | 1.20% | $74M |
| 1984 | 1.22% | $69M |
| 1983 | 1.25% | $63M |
| 1982 | 1.09% | $56M |
| 1981 | 0.99% | $50M |
| 1980 | 1.03% | $50M |
| 1979 | 0.91% | $49M |
| 1978 | 0.86% | $44M |
| 1977 | 0.89% | $44M |
| 1976 | 0.86% | $43M |
| 1975 | 0.68% | $33M |
| 1974 | 0.61% | $27M |
| 1973 | 0.66% | $27M |
| 1972 | 0.65% | $27M |
| 1971 | 0.62% | $26M |
| 1970 | 0.59% | $23M |