Berlin's defence budget has always been below NATO's target of 2 per cent of a member's gross domestic product.
Germany's rejection of Trump's accusation follows the latest in a series of critical statements from the White House against North Atlantic Treaty Organisation allies.
"There is no debt account at NATO", German Defense Minister Ursula von der Leyen said in a statement, elaborating on the distribution of Berlin's military expenditure, which is also allocated to United Nations peacekeeping, European Union operations and anti-terror efforts in addition to NATO missions.
President of the US, Donald Trump, hit Twitter hours after meeting with the German Chancellor Angela Merkel demanding that Germany pay more to the United States for its defence. The figure is now at 1.23 per cent, though Germany has been raising defence spending and Merkel has stressed its commitment to reaching the target by 2024.
"Defense spending also goes into United Nations peacekeeping missions, into our European missions and into our contribution to the fight against IS terrorism", von der Leyen said.
Although the visit began cordially enough, with the pair shaking hands at the White House entrance, Merkel's suggestion of another handshake in the Oval Office went unheard or ignored by Trump. Probably from this point of view, Trump's describing U.S.'s situation to be an unfair one can be taken into consideration. It is set to rise by 1.4 billion euros to 38.5 billion euros in 2019, bringing it to 1.26 percent of the country's economic output, German Finance Minister Wolfgang Schäuble has said.
Notably, in another of his debatable tweets, Trump particularly targeted Germany for having the benefit of an expensive defense base at the cost of the U.S.
During her trip to Washington, Merkel reiterated Germany's commitment to the 2 percent military spending goal.
"America will meet its responsibilities, but if your nations do not want to see America moderate its commitment to this alliance, each of your capitals needs to show support for our common defense", he said last month.
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