Russia's Investment in Military Technology

DESCRIPTION

Russia inherited most of the defense industry of the Soviet Union. While the 90s is termed as the lost decade for Russia and technologically, many of its blah blah are considered to be out-of-date and the country still uses equipment which it could have retired long ago, Russia’s focus on maintaining a strong defense industry is not to be ignored. Since 2000, the country’s military budget has increased six times.

Russia has also been increasing salaries for it’s military personnel and allocated a 170 billion budget for three years (2008-2010) to the enhancement of its defense industry. These trends point in the direction that Russia will pay close attention to developing its defense industry in time to come.

ENABLERS

- Russian export of military technology to other countries is an important source of currency

- Breakdown in Russo-Chinese relations

- Russia’s growing assertiveness in it’s neighbouring states (especially former soviet states) to gain more control, and also to counter US military presence in the region.

- Significant reduction in the country’s foreign debt freeing up funds for investment

- Russia's Multipolar military doctrine

INHIBITORS

- Efforts in the 90s and 2000s to convert the defense industry to civilian use. This also led to migration of some of the country’s top engineers and scientists into other fields.

- The history of the soviet times serves as a gentle reminder that Russia ought not to get into an arms race again.