THE HAGUE, Oct. 10 (Xinhua) -- Most Dutch political parties plan to cut healthcare spending to help fund higher defense budgets to meet the North Atlantic Treaty Organization (NATO)'s new target of 5 percent of gross domestic product (GDP), the Netherlands Bureau for Economic Policy Analysis (CPB) said Friday.

In an assessment of 10 major parties' manifestos ahead of the Oct. 29 parliamentary election, the CPB said all back higher defense budgets during the next government term, with most proposing further rises through 2035 to meet the NATO target adopted at a summit in The Hague in June.

"The state of public finances and the desire to raise defense spending pose dilemmas for all parties," the CPB said. Without additional measures, the budget deficit is projected to widen to 2.5 percent of GDP by 2030.

To contain deficits, nearly all parties propose curbing growth in collective healthcare expenditures, while many also plan to limit age-related spending such as state pensions. "Almost all parties restrain the growth of healthcare costs compared with the baseline," the agency said, warning that such measures could affect "the accessibility and quality of care."

Other proposed trade-offs include raising value-added tax rates, extending the retirement age, or slashing international development aid budgets.

At their June summit, NATO members agreed to raise defense spending to 5 percent of GDP by 2035, allocating 3.5 percent to core defense and 1.5 percent to related areas such as critical infrastructure, digital networks and defense industrial capacity.

The Netherlands is set to hold its second parliamentary election in two years on Oct. 29, following the 2023 vote that ended Mark Rutte's 13-year tenure as prime minister. Enditem