NATO’s Decision Shocks People, These Companies’ Shares Turn into Rockets

Defence Stock News: Today in the share market, all investors’ eyes are on the stocks of defence companies. The shares of Bharat Electronics Limited and Hindustan Aeronautics Limited are rising very rapidly. Apart from this, other defence stocks like Solar Industries India Limited, Apollo Micro Systems Limited, Bharat Dynamics Limited, etc., are also moving upward positively. The main reason behind the rapid rise of all these shares is one key factor.

Defence Stock News

For the information of all of you, let us tell you that with the cooperation of the North Atlantic Treaty Organization (NATO), the government has decided to include 5% of its Gross Domestic Product (GDP) in defence spending. Recently, due to pressure from US President Donald Trump, the defence GDP has been increased from 2% to 5%, which will cause defence sector stocks to surge rapidly upward. Along with this, the US and India have decided to help each other in case of any attack.

Recently, in the final summit of 32 NATO leaders, it was revealed that the allied countries will invest 5% of their annual GDP in defence and security-related spending by 2035 to ensure individual and collective responsibilities.

What Will Be the Impact on the Stock Market

After this news, the prices of all defence stock shares are going to rise very rapidly because their contribution to India’s GDP will increase. Let us tell you all that since the financial year 2016, a total of 13 times growth has been recorded in defence exports, while in the private sector, a 67 times growth has been observed. A target of ₹5 lakh crore has been set by the year 2028-29. Missiles, radars, and other large vehicles are being exported to more than 85 countries by various nations. However, India’s contribution in this is low, and a decision has been made to increase it now.