18 January 2011

Vietnam defence budget in 2011 increased by 70%

Vietnam defence budget in 2011 will increase to 52.000 billion VND (2.6 billion), Defence Minister Phung Quang Thanh said at the XI Congress of the Communist Party of Vietnam.
Numbers increased by 70% compared to last year. Although the increase is unprecedented, but the defence minister of Vietnam, is consistent with a commitment to increase defence spending to 1.8% of GDP that the government launched May 12.2009, Jane's Defence Industry reported.

The focus in the new budget is to equip the Navy and Air Force, as well as develop air defence systems and reconnaissance. In particular, priority is the South China Sea, where the focus of resources mainly in Vietnam and an increased military power of China.

At the XI Congress, problems and modernize the military defence industry is very noticeable. These tasks are included in the list of "key task" in the next 5 years. According to General Phung Quang Thanh, the government expects companies to Vietnam will actively participate in activities to modernize the military.

Vietnam plans to the next 5 years (2011-2015) consolidated a strong defence industry to improve the defence capability and equipment for military weapons, new equipment.

According to the assessment of many experts, the actual defence spending more than double Vietnam's official figures published.
Source: Armstrade, 17.1.2011.

VietnamDefence