NATO funding
NATO member nations contribute to common funds or trusts in three areas:
Civil: Administrative, communications, security, and other non-military costs, as well as programs like the Partnership for Peace and the Euro-Atlantic Partnership Council;
Military: Operational and maintenance costs for international military staff; headquarters in Mons, Belgium and subordinate regional commands; and military-related activities such as the Airborne Early Warning and Control System (AWACS) fleet; and
NATO Security Investment Program (NSIP): Infrastructure spending aimed at improving the organization's anti-terrorism and crisis control capabilities.
According to NATO, members' contributions are made in accordance with an agreed-upon formula based on relative Gross National Income. The largest direct contributors to NATO in absolute terms are the United States, Germany, the United Kingdom and France. In 2005 a review of burdensharing arrangements led NATO's Senior Resource Board to recommend a new formula that seeks to be "fair, equitable, stable, and objectively based." However, the United States negotiated a ceiling for its cost share percentages at the then-existing rate, and which would decline if other countries joined NATO.
Paying for NATO
NATO Common Funds Burdensharing (Congressional Research Service)
America's contribution to NATO's military budget - provided through the Department of the Army's Operations and Maintenance account - is under 23 percent. The U.S. contributed $408.051 million and $430.381 million, respectively, in FY2009 and FY2010, according to the Congressional Budget Service.
After the U.S., the largest contributors to NATO's military budget are Germany (16.6 percent); France (12.4 percent); United Kingdom (12 percent); Italy (7.8 percent); Canada (5 percent); Spain (4.2 percent); Netherlands (3.3 percent); Belgium (2.6 percent); Poland (2.3 percent); Turkey (1.8 percent); Denmark (1.7 percent); and Norway (1.6 percent). Fifteen countries make up the remaining 5.8 percent.
The U.S. contribution to NATO's Civil budget, provided through the State Department's Contributions to International Organizations, is approximately 21.7 percent, with payments of $66.1 million and $84.1 million, respectively, made In FY2009 and FY2010.
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