On Wednesday, a government source disclosed that the German government has retreated from a plan to legally commit itself to meeting NATO’s 2% military spending target on an annual basis.

According to the source, a relevant clause has been deleted at short notice in the draft budget financing law, adopted by the cabinet of Chancellor Olaf Scholz on Wednesday.

The change means that Germany will be able to meet its current pledge to reach the 2% target over an average of five years.

Berlin has been heavily criticized by NATO allies in the past for failing to spend 2 % of its gross domestic product on defence each year.

It is not clear whether Berlin will keep military spending above this threshold after a 100 billion euro special fund to rebuild the Bundeswehr is used up.