Military expenditures - dollar figure: $6 billion (FY97)

Military expenditures - percent of GDP: 1.1% (FY97)

Spain Transnational Issues

Disputes - international: Gibraltar issue with UK; Spain controls five places of sovereignty (plazas de soberania) on and off the coast of Morocco - the coastal enclaves of Ceuta and Melilla, which Morocco contests, as well as the islands of Penon de Alhucemas, Penon de Velez de la Gomera, and Islas Chafarinas

Illicit drugs: key European gateway country for Latin American cocaine and North African hashish entering the European market; transshipment point for and consumer of Southwest Asian heroin

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@Spratly Islands

Spratly Islands Introduction Top of Page

Background: Rich fishing grounds and the potential for gas and oil deposits have caused this archipelago to be claimed in its entirety by China, Taiwan, and Vietnam, while portions are claimed by Malaysia and the Philippines. All five parties have occupied certain islands or reefs, and occasional clashes have occurred between Chinese and Vietnamese naval forces

Spratly Islands Geography