Small countries have limited resources to establish and maintain high army expenditures. Small states limited geographical spaces imply that they have limited natural resources, which are hardly enough to sustain their development.

Can a country survive without an army?

There are currently 23 countries in the world that maintain no army, and they seem to get by just fine. In addition, there are half a dozen countries with no standing army that maintain limited paramilitary security forces for protection. These include Iceland, Haiti, Monaco, Mauritius, Vanuatu and Panama.

What is the smallest country with a military?

Known as Vatican City, Holy See is the world's smallest country. Covering just 0.2 square miles, the tiny sovereign state has the smallest military force to match, otherwise known as the Pontifical Swiss Guard or Papal Swiss Guard. The population of the landlocked city-state is 825 including 135 Swiss Guards.