EXCLUSIVE-NATO chief Rutte floats two-tier spending plan to meet Trump target

BRUSSELS, May 2 (Reuters) - NATO chief Mark Rutte has proposed alliance members boost defence spending to 3.5% of GDP and spend a further 1.5% on other defence-related items to meet Donald Trump’s demand for a 5% target, people familiar with the idea told Reuters.

Rutte’s proposal could allow the U.S. president to declare a win at a NATO summit in The Hague in June while not committing European nations and Canada to a 5% pledge on core defence spending that many see as politically and economically unviable.