Posted on 01/17/2009 10:24:28 AM PST by pobeda1945
MOSCOW, January 15 (RIA Novosti) - The state will earmark 4 trillion rubles ($125 billion) for arms procurements by 2011, including 1 trillion rubles ($31 billion) in 2009, the Russian prime minister said on Thursday.
Vladimir Putin said the modernization of defense related enterprises would continue despite the global financial crisis.
"The modernization of defense industry enterprises as well as the development of modern weapons should continue," he said.
He added that federal defense programs need to be reviewed and "streamlined," in particular with regard to production volumes.
Russian Finance Minister Alexei Kudrin said earlier on Thursday the state had earmarked $10 billion for 'core enterprises' and defense-related sectors of industry.
Where is the cash going to come from?
The same place it did during soviet times, he is going to cut back on everything else and funnel it all into the “Defense” sector.
The Soviets at the peak were literally spending a 1/4 of their GDP on defense. There are going to be some unforgiving winters ahead for a lot of Russians.
I wonder if Putin sees the price of oil going back up in the near future? That would seem to be the only way they could afford this type of buildup; the old Soviet model of spending a quarter of your GDP on the military doesn’t work, no one can keep up that level of spending during peacetime.
Vladimir Putin said the modernization of defense related enterprises would continue despite the global financial crisis.
“The modernization of defense industry enterprises as well as the development of modern weapons should continue,” he said.
Meanwhile, our leader deems new military technology as “not necessary”...I will miss our country as it was...
Putin knows world oil prices are going back up. Once the Global Recession is over, demand will be right back where it was before if not higher and we will easily be back up over $100 a barrel if not $150 by 2013 or 2014.
what a coincidence, I can almost imagine our military budget will be $125b by 2010 too
Russia has ways of doing things that the US can’t do. They did this during Soviet times with much less money laying around.
What makes you think peace is going to last that long after Jan20th?
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