The Russian government confirmed a massive hike in defense spending in a bid to make its Cold War-era forces leaner and meaner. Russia will spend $63 billion, or roughly one-fifth of its overall budget, on national security and defense in 2011, Defensenews.com cited Russian Finance Minister Alexei Kudrin as saying at a meeting Monday with Prime Minister Vladimir Putin.
The figure is much higher than the previously announced $49 billion and a sharp increase from the $42 billion Russia is to spend on defense and security this year. Around $15 billion will go directly into arms purchases, Russia's Vedomosti newspaper reports.
Russia's Deputy Prime Minister Sergei Ivanov recently said that Russia plans to spend as much as $730 billion during the next decade to modernize the weaponry used by its armed forces and other armed government-paid forces.
Observers say much of the money will go into innovative military research and the structural reform of the armed forces, with Moscow planning to radically the cut the number of officers and overall troops to create a more modern and mobile force.
In a bid to allocate that money efficiently, Russian President Dmitry Medvedev reportedly wants to create an agency modeled after the U.S. Defense Advanced Research Projects Agency. A direct response to the launch of the Soviet Sputnik satellite, DARPA was launched in 1958 to coordinate and push technological modernization of the U.S. defense portfolio. It reports directly to senior Department of Defense management.
"I think our country also needs an effective organization to work on placing orders for breakthrough research and development in the interests of our defense and security, including promising new research that in some cases can be very risky," Medvedev was quoted as saying by the RBC Daily in September.
Eager to completely overhaul the Russian armed forces and to replace its Soviet-era equipment, the Kremlin has in the past voiced its frustration with the domestic industry. Arguing that some of the Russian-made products aren't up to date, Moscow has urged firms to step up their product portfolio and internal procedures to become more competitive.
Russian Defense Minister Anatoly Serdyukov said last month Russia might have to buy weapons abroad and could even purchase equipment from its former Cold War foe United States.
Russia is locked in negotiations with France over one or several Mistral class helicopter carriers with the price tag for one vessel reportedly at $380 million.
It has to be noted, however, that Russia still is one of the world's most successful arms exporters, with Russian-made tanks and helicopters among the best-sold products.
The costly overhaul of the Russian military comes as forces in Europe face severe budget cuts because of the recession.
Monday, January 3, 2011
Wednesday, December 22, 2010
Ireland cuts budget for 2011
“In 2011 the Department of Defence and the Defence Forces, like all areas of the public service, will operate on a reduced budget. The gross allocation in 2011 for Defence and Army Pensions combined is EUR 933m, an overall reduction of 4% on the 2010 allocation. Defence spending at EUR 725m (including capital spending) will be down by EUR 30m (4%) on the 2010 Estimate. The provision for Army Pensions (Vote 37) for 2011 is EUR 208m, which is a non-discretionary expenditure. Vote 36 (Defence) and 37 (Army Pensions)
The expenditure reductions will be delivered through the reduction in participation in overseas peacekeeping, particularly the withdrawal from Chad and the reductions in numbers serving in Kosovo and Bosnia- Herzegovina. Savings will also be achieved through the postponement of expenditure on equipment and capital works across the Defence Forces.
There are currently 2 aircrafts available for the Ministerial Air Transport Service. The Gulfstream IV aircraft is in service for almost 20 years and no provision has been made in the Estimates for a replacement or for any major structural repair. The Learjet aircraft will continue in operation.
While there have been reductions in the overall Defence budget, steady investment since 2000 means that the Defence Forces are well placed in addressing the challenges for 2011 and the adjustments required under the National Recovery Plan.
The procurement of two new naval vessels will continue within the reduced allocation for Defence spending.
All of the main savings indentified in the Special Group on Public Service Numbers and Expenditure Programmes have already been implemented or alternative savings identified.”
“The priority in the coming year will be on maintaining the capability of the Defence Forces to deliver effective services across all of the roles assigned by Government.
Ireland remains open to participation in peace keeping operations with such participation reflecting the reduced budgetary resources. The Defence Forces retain the capacity to deploy overseas. No decisions have been made by the Government in relation to new peace keeping operations.” added Minister Killeen.
Friday, December 10, 2010
Sri Lanka Spending $1.9B in 2011
COLOMBO, Sir Lanka -The Sri Lanka government has allocated SLR215 billion ($1.92 billion) for defense for 2011, amounting to 20 percent of the national budget and representing an increase of 6 percent over last year's budget. Much of this budget is due to large installment payments on military hardware bought over the years. These will continue to dominate the military budget for some time.
As usual, the 200,000-strong Sri Lanka Army will absorb just over half of the entire defense spending to maintain its personnel. A substantial proportion of this will be spent on new bases and cantonments needed to accommodate troops in the northern and eastern provinces, replacing the existing makeshift shelters.
Also acting to increase the defense budget is the consolidation of a number of paramilitary budgets from other ministries into the Ministry of Defense.
As usual, the 200,000-strong Sri Lanka Army will absorb just over half of the entire defense spending to maintain its personnel. A substantial proportion of this will be spent on new bases and cantonments needed to accommodate troops in the northern and eastern provinces, replacing the existing makeshift shelters.
Also acting to increase the defense budget is the consolidation of a number of paramilitary budgets from other ministries into the Ministry of Defense.
S Korea approves 6.2% increase for defense in 2011
South Korea’s parliament approved plans to increase spending next year by 5.5 percent to 309.1 trillion won ($270 billion).
Lawmakers from the ruling Grand National Party approved the budget in a televised session of the National Assembly today, allocating 500 billion won less than a September proposal by the government.
Members of the opposition parties including the Democratic Party tried to block passage after the GNP earlier today approved the bill at a subcommittee without their participation.
South Korea plans to increase spending on defense by 6.2 percent to 31.4 trillion won next year to bolster military readiness to respond to any provocation by North Korea. The increase is higher than the 5.8 percent initially planned by the government.
Lawmakers from the ruling Grand National Party approved the budget in a televised session of the National Assembly today, allocating 500 billion won less than a September proposal by the government.
Members of the opposition parties including the Democratic Party tried to block passage after the GNP earlier today approved the bill at a subcommittee without their participation.
South Korea plans to increase spending on defense by 6.2 percent to 31.4 trillion won next year to bolster military readiness to respond to any provocation by North Korea. The increase is higher than the 5.8 percent initially planned by the government.
Friday, November 12, 2010
France Defense spending Cuts for 3yrs
Paris - France confirmed on Sept. 29 an announced cut in defense spending of 3.6 billion euros ($4.8 billion) over the next three years, as government officials said the effects would be "very limited" because of receipts from the sale of property and digital frequencies.
The military is contributing to the government's attempts to reduce the public deficit but defense remains a priority for the state, the officials said.
The planned asset disposal would partly compensate for the budget cut, leaving a shortfall of 1.26 billion euros compared with the figure in the multiyear military budget law adopted in 2009, a government official said.
"It's less euphoric but it's in line with the military budget law," the official said.
Total spending under the 2009-14 military budget law was set at 185.9 billion euros at 2008 prices, of which 101.9 billion was earmarked for equipment.
Despite the reduction over the three years, defense spending will climb each year from 2011, which was not the case in other government departments, the official said.
Under the new three-year budget, equipment spending will be 16 billion euros in 2011, 16.8 billion in 2012 and 17.04 billion in 2012.
The military budget law set 16.04 billion euros for 2011, 16.41 billion in 2012 and 17.02 billion in 2013.
Equipment spending hit a record 18 billion euros in 2009 under a bow wave effect as equipment which had been under development for years finally hit the production and delivery stage. That total eased to 17 billion in the current year.
The defense officials drafting the military budget law factored in export contracts for the Rafale fighter jet from Dassault Aviation, but as no such deals have been signed, the government must find 800 million euros over the three-year period to buy the aircraft needed to maintain production at an annual 11 units.
The Defense Ministry confirmed that part of the savings will come from postponing the midlife upgrade and conversion of the Mirage 2000-D fighter-bomber to an air defense variant, an order for 14 multirole tanker and transport aircraft (MRTT), and elements of the Scorpion Army modernization program.
An order for the MRTT will come back for review in 2012 or 2013. French officials are negotiating with their British counterparts for a possible lease of the tanker jets being acquired under the future strategic tanker aircraft program for the Royal Air Force. But the lease terms being offered are too expensive, a French official said. If a cooperative deal is reached, it would be announced at the Anglo-French summit to be held in November.
The government published on Sept. 29 the defense spending figures which will go to the National Assembly in the autumn for voting.
The defense officials drafting the military budget law factored in export contracts for the Rafale fighter jet from Dassault Aviation, but as no such deals have been signed, the government must find 800 million euros over the three-year period to buy (DASSAULT)
The planned asset disposal would partly compensate for the budget cut, leaving a shortfall of 1.26 billion euros compared with the figure in the multiyear military budget law adopted in 2009, a government official said.
"It's less euphoric but it's in line with the military budget law," the official said.
Total spending under the 2009-14 military budget law was set at 185.9 billion euros at 2008 prices, of which 101.9 billion was earmarked for equipment.
Despite the reduction over the three years, defense spending will climb each year from 2011, which was not the case in other government departments, the official said.
Under the new three-year budget, equipment spending will be 16 billion euros in 2011, 16.8 billion in 2012 and 17.04 billion in 2012.
The military budget law set 16.04 billion euros for 2011, 16.41 billion in 2012 and 17.02 billion in 2013.
Equipment spending hit a record 18 billion euros in 2009 under a bow wave effect as equipment which had been under development for years finally hit the production and delivery stage. That total eased to 17 billion in the current year.
The defense officials drafting the military budget law factored in export contracts for the Rafale fighter jet from Dassault Aviation, but as no such deals have been signed, the government must find 800 million euros over the three-year period to buy the aircraft needed to maintain production at an annual 11 units.
The Defense Ministry confirmed that part of the savings will come from postponing the midlife upgrade and conversion of the Mirage 2000-D fighter-bomber to an air defense variant, an order for 14 multirole tanker and transport aircraft (MRTT), and elements of the Scorpion Army modernization program.
An order for the MRTT will come back for review in 2012 or 2013. French officials are negotiating with their British counterparts for a possible lease of the tanker jets being acquired under the future strategic tanker aircraft program for the Royal Air Force. But the lease terms being offered are too expensive, a French official said. If a cooperative deal is reached, it would be announced at the Anglo-French summit to be held in November.
The government published on Sept. 29 the defense spending figures which will go to the National Assembly in the autumn for voting.
Tuesday, November 9, 2010
Netherlands Defense Budget Projection
2.1 Uitgaven begrotingen (in miljoenen euro)
2009 2010 2011 2012 2013 2014 2015
2009 2010 2011 2012 2013 2014 2015
http://miljoenennota.prinsjesdag2010.nl/miljoenennota-2011/Search.ZGVmZW5zaWU=/aDU1053_2-De-uitgaven-en-niet-belastingontvangsten.aspx |
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