May 30th, 2006

Crystal Ball

(no subject)

ON THE ISSUE OF MILITARY SPENDING BY THE US AND RUSSIA

It seems that May becomes the reference point of 2007 military spending, for the US and Russia. The US Congress recently passed the 2007 defense budget ($512.9 billion, or 4% of GDP). Russia held a meeting of the military-industrial commission, which also discussed defense spending in 2007. Defense Minister Sergei Ivanov said that the military budget will amount to 2.6%-2.7% of GDP, or around $20 billion. This is 25 times less than in the US. However, the Russian military state that they can achieve parity with the US without an arms race. Sergei Ivanov thinks that the main task is to increase the share of expenditure on the development of the Armed Forces to 50% of the military budget.

It should be noted that this ratio is one to three in the US. In other words, the maintenance of servicemen will cost the Pentagon $108 billion next year. Collapse )