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    Military budget of the Russian Federation

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    kvs

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    Re: Military budget of the Russian Federation

    Post  kvs on Sun Jul 19, 2015 1:42 pm

    The talk of cutting from 4.3% to 3.1% is complete garbage. Russia's military spending will not be reduced to 70% of its current
    levels in the next 3 years. It will keep on growing. There is no indication at all that the planned increases from year to year
    are going to turn into decreases. The rate of growth will be reduced but that is it.

    When I do Google searches on Russian topics of almost any sort I get a deluge of links to doomsday propaganda about how
    Russian this or that is in total crisis. The subject of the military spending cuts is subjected to this same hysterical propaganda
    and you can see it in this thread.

    Please, people, stand back and look around. Russia's GDP is not imploding by 17% year on year like Ukraine's. There will be
    growth by the 4th quarter. Why the f*ck would Russia need to slash its military budget by 30%?
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Sun Jul 19, 2015 2:13 pm

    kvs wrote:The talk of cutting from 4.3% to 3.1% is complete garbage.   Russia's military spending will not be reduced to 70% of its current
    levels in the next 3 years.   It will keep on growing.    There is no indication at all that the planned increases from year to year
    are going to turn into decreases.   The rate of growth will be reduced but that is it.

    When I do Google searches on Russian topics of almost any sort I get a deluge of links to doomsday propaganda about how
    Russian this or that is in total crisis.   The subject of the military spending cuts is subjected to this same hysterical propaganda
    and you can see it in this thread.

    Please, people, stand back and look around.   Russia's GDP is not imploding by 17% year on year like Ukraine's.   There will be
    growth by the 4th quarter.   Why the f*ck would Russia need to slash its military budget by 30%?  

    You are probably right, as if you look at the chart above posts, Russia spent more on military in 2008 and 2009 since previous years, when they dropped economically in GDP terms by 9%. So why would they cut now? Until there is an official statement, I wont believe it. We will find out next year.
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    PapaDragon

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    Re: Military budget of the Russian Federation

    Post  PapaDragon on Sun Jul 19, 2015 2:18 pm

    kvs wrote:The talk of cutting from 4.3% to 3.1% is complete garbage.   Russia's military spending will not be reduced to 70% of its current
    levels in the next 3 years.   It will keep on growing.    There is no indication at all that the planned increases from year to year
    are going to turn into decreases.   The rate of growth will be reduced but that is it.

    When I do Google searches on Russian topics of almost any sort I get a deluge of links to doomsday propaganda about how
    Russian this or that is in total crisis.   The subject of the military spending cuts is subjected to this same hysterical propaganda
    and you can see it in this thread.


    Please, people, stand back and look around.   Russia's GDP is not imploding by 17% year on year like Ukraine's.   There will be
    growth by the 4th quarter.   Why the f*ck would Russia need to slash its military budget by 30%?  

    Honestly, this media BS storm feels like inverted Cold War. Back then Sovs constantly kept saying that West is collapsing economically and that they are weeks away from total chaos even though nothing could have been further from the truth.

    Now you have same thing with reversed roles. Bizarre... Suspect

    Austin

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    Re: Military budget of the Russian Federation

    Post  Austin on Sun Jul 19, 2015 5:31 pm

    kvs wrote:The talk of cutting from 4.3% to 3.1% is complete garbage.   Russia's military spending will not be reduced to 70% of its current
    levels in the next 3 years.   It will keep on growing.    There is no indication at all that the planned increases from year to year
    are going to turn into decreases.   The rate of growth will be reduced but that is it.

    When I do Google searches on Russian topics of almost any sort I get a deluge of links to doomsday propaganda about how
    Russian this or that is in total crisis.   The subject of the military spending cuts is subjected to this same hysterical propaganda
    and you can see it in this thread.

    Please, people, stand back and look around.   Russia's GDP is not imploding by 17% year on year like Ukraine's.   There will be
    growth by the 4th quarter.   Why the f*ck would Russia need to slash its military budget by 30%?  

    I did a back of envelope calculations of Def Budget so far and its as below

    http://www.foi.se/Documents/foir_3688.pdf

    Defence Budget ( Trillion Roubles )

    2011 - 1.515
    2012 - 1.812
    2013 - 2.106
    2014 - 2.49
    2015 - 3.03

    Goal is to spend 23 Trillion roubles by 2020 , ~ 20 on Defence Budget/Procurement/Maintenance etc and 3 on MIC

    Rough calulation shows they spent ~ 11 Trillion till 2015 , to meet the goal they need to spend ~ 12 trillion in next 5 years ( 2016-2020 ) thats around an average of 2.4 trillion roubles each year.

    I think they can achieve that , because even a reduction in spending % GDP wise would get some what compensated by some growth in GDP.

    I think the best option for them is to increase export , currently its at $15 billion per year , they would aim to rise it to $20 to $25 billion per year say in next 5-8 years.
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    ExBeobachter1987

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    Re: Military budget of the Russian Federation

    Post  ExBeobachter1987 on Sun Jul 19, 2015 5:40 pm

    PapaDragon wrote:Now you have same thing with reversed roles. Bizarre... Suspect

    Because they are reversed.
    Modern Russia is conservative country whose elites wants to stay in power and make money without all the ideological baggage.
    Meanwhile, USAE are blinded by their own ideology and superiority complex and unwilling to acknowledge interests of others.
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    George1

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    Re: Military budget of the Russian Federation

    Post  George1 on Thu Jul 23, 2015 8:30 am

    Russian lawmaker warns government against cuts in defense budget


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    Big_Gazza

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    Re: Military budget of the Russian Federation

    Post  Big_Gazza on Thu Jul 23, 2015 11:07 am

    ExBeobachter1987 wrote:
    PapaDragon wrote:Now you have same thing with reversed roles. Bizarre... Suspect

    Because they are reversed.
    Modern Russia is conservative country whose elites wants to stay in power and make money without all the ideological baggage.
    Meanwhile, USAE are blinded by their own ideology and superiority complex and unwilling to acknowledge interests of others.

    +1

    Very succinctly stated :-)
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Fri Jul 24, 2015 6:49 am

    George1 wrote:Russian lawmaker warns government against cuts in defense budget

    I agree with this lawmaker.

    Cutbacks wont solve anything but exacerbate things.  While Russia will have increased poverty, they need to get these people out of it.  They really need to do something that will get consumers happy again and get them spending again.  Reducing budgets usually means reducing jobs, which means more poverty, which means less people spending money.

    Maybe, they need to really reduce the credit rate so that it can get industry going again.  What CBR is doing is destroying the economy.

    With that said, if they "need" to save money, then manufacturing is where it is at. So I agree with the idea of making more Tu-160's, and stretching out PAK DA's Research and development, but not stop it at all (which they are not doing, at least not yet it seems). But they will definitely need to find an alternative to Tu-22M's. Either restart their production or start a new program/reroute PAK DA to that section. So maybe increase equipment procurement but reduce spending in other fields. Maybe scrap the idea of an Aircraft Carrier and all these other types of ships, and concentrate on 1 type of Corvette, Frigate and Destroyer (or scrap the destroyer and just go for corvette, Frigate and more submarines).
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    George1

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    Re: Military budget of the Russian Federation

    Post  George1 on Fri Jul 31, 2015 12:36 pm

    Russia’s Defense Ministry gives up excessive types of uniforms, saves $200 mln


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    nemrod

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    Can Russia not Afford To Buy Its New Super Weapons ?

    Post  nemrod on Fri Aug 21, 2015 4:00 pm

    I hesitate to post another western news. Nevertheless, as I share a part of this pov, -chiefly not for the same reasons- my wishes are Russia will have to dominate, with cheap, powerfull weapons like SU-35, Mig-35, T-90, AT-14 Kornet, S-60, etc...In my view, weapon like the very costly SU-50 could really hampered the ability of Russia to dominate the battlefield. I don't know much, the price of the T-14. But foxtrotalpha's questions seem to be very relevant.
    Your opinions ?


    http://foxtrotalpha.jalopnik.com/russia-cant-afford-to-buy-its-new-super-weapons-1718368304


    Russia Can't Afford To Buy Its New Super Weapons
    Russia may be coming to the realization that developing a high-tech weapon system is not the same as fielding it en masse, or even in relatively limited numbers. This appears to be the case for both the T-14 “Armata” tank, the T-50 5th generation fighter, and signs are possibly the PAK-DA next generation bomber.
    The T-14 has been Russia’s most celebrated new weapon system as of late. Regardless of its capability (though it’s by no means a “silver bullet” weapon system), in order to be really effective it needs to be fielded in relevant numbers. Originally the idea was to replace the majority of Russia’s front-line stable of ‘legacy’ main battle tanks with the T-14, amounting to about 2,300 in total, with production ramping up in the short term.

    Instead of producing thousands of the tanks over next five years or so, some analysts put the number as little as a few hundred. This is partly because the cost of the tank has ballooned to about two and half times what was originally projected. As a result, the Kremlin will likely focus on modernize existing system, such as its T-72 and T-90 tank force.
    The same situation is also occurring with the Kremlin’s new stealthy fighter, the Sukhoi T-50. Originally the Russia was aiming at building about 150 T-50s by 2020, then the number was scaled back to just 52 units with the first batch entering operational service in 2016. Now, that number is being drastically scaled back once again to just 12 aircraft, which really equates to an expanded test and operational validation force at best. What’s worse is that as production numbers plummet, unit costs increase. This is what is commonly referred to in Pentagon parlance as a weapons program “Death Spiral.”

    India, which has invested partially in the T-50 project (also referred to as the PAK-FA) for its own derivative of the jet, has also been less than enamored with its progress and capabilities. Not to mention that the Indian Air Force just spent billions of dollars on 36 French Rafale fighters with more almost certainly on the way.

    Then there’s the fact that there are tensions between the two nations when it comes to maintaining Inida’s existing Su-30MKI fleet. Spare parts availability and engine reliability have also been of major concern when it comes to India Su-35MKIs. This, along with other major recent purchases by India of aircraft made by western aerospace manufacturers, leads many to believe that New Delhi may turn away from Russia for its military aircraft needs.

    All this equates to a fighter program that may slow to snail’s pace. As such, it then blurs the lines between a very costly research and development experiment and an actually viable front-line weapon system that Russia can hang its air combat helmet on for the foreseeable future.

    Finally, we get to Russia’s next-generation bomber, the PAK-DA. Recent declarations that Russia will be putting the Tu-160 Blackjack back into production may be telling as to the future bomber’s feasibility. The choice to put a Cold War era bomber, one that was highly expensive back then and will be now, while also upgrading their existing force, seems like odd choices for an air arm that supposedly has a cutting edge bomber that will be flying by the end of this decade and coming online operationally around the middle of the next.

    Part of this is just a numbers game and part of it is a reality — or lack thereof — game. Russia has been hit by sanctions in a way that is directly affecting their weapons procurement strategy, there is no doubt about it. This was not planned for five years ago or more when many of these programs were being launched.

    Still, the valley between what Russia says it can do economically and what it actually can do is so wide that sanctions alone can’t explain the massive slowdown in Russia’s military modernization. It’s clear that Russia is simply unrealistic when it comes to its military technology ambitions.

    This is hardly an uncommon phenomenon. The Pentagon has its own woes in this regard as well, although the unraveling of so many key and trumped up programs so fast has not been seen when it comes to the U.S., even in the Department of Defense’s post sequester reality.

    With all this in mind, we will probably see just enough T-14s and T-50s to participate in parades, flyovers and to spearhead military exercises, but Russia will most likely continue to fall back on procuring and updating existing conventional weaponry while drastically updating their submarine and land-based nuclear capabilities. This offers a maximum “bottom line” deterrent while also maintaining a usable and affordable conventional force. It also allows Putin and the Kremlin to continue on without losing clout with the Russian people by not having to fully cut leading-edge programs seen as a national source of pride and international competitiveness. And it allows Russia to continue to parade around these programs while actively trying to sell them to anyone with who will buy into them.

    This more rationalized approach to weapons procurement is not unlike that of the Cold War. We often forget that even at the height of tensions between East and West, America had to buy the F-16 and F-15 due to budgetary limitations, and that is just one example. A high-low capability mix was a strategy of necessity as much as anything else. The same was true for the USSR to an even greater degree, where numerical advantage was chosen more over a qualitative one.

    The policy of procuring an almost all gold-plated, maximum capability at seemingly any cost force is an advent of the post-Cold War military industrial complex. It remains as unrealistic as it was in the Cold War, for both the U.S. and Russia. Russia is now having to come to terms with this reality, while the U.S. is not... yet.
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    GarryB

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    Re: Military budget of the Russian Federation

    Post  GarryB on Sat Aug 22, 2015 7:52 am

    Load of BS.

    The T-14 is on schedule and AFAIK within budget... BTW where is the Commanche and Crusader (self propelled artillery).

    Everybody re-evaluates their programmes over time and makes changes depending on the current situation.

    the current economic situation with sanctions against Russia of course they would be stupid to keep spending like there were not economic problems... that would just be dumb to expect them to keep on full speed ahead with every single programme.... even the west dramatically scaled back production numbers of the F-22 and B-2 because the situation they were designed for no longer existed at the time.

    The fact that the Russians even have a stealth fighter approaching production alone says it is on a level beyond the vast majority of the west... only the US has achieved that so far with western countries buying off the shelf instead of having the technology to make their own.

    they will likely be building a few thousand Armata based vehicles... it makes no sense at all to make 24 armata tanks because armata tanks have to operate with other armata vehicles.

    You don't just put armata tanks in a current unit in place of the T-90s... that would just be dumb.

    These experts I suspect are economic experts or just dumb as shit when it comes to military equipment.

    And the last comment is amusing... the US sells medium weight transport aircraft for half a billion dollars each is in no position to be compared with Russia... the T-14 will likely be much cheaper than the M1A3 Abrams and while it wont be produced in such numbers neither will anything.

    Today, one MiG-29SMT upgraded aircraft can perform the roles of the MiG-21, MiG-23, MiG-27, and Su-17/-20/-22 and it could actually do a much better job than any of them.

    A MiG-35 with 5 wing pylons and one centreline pylon could carry 10 long range AAMs, which is the equivalent to 2.5-5 MiG-23s in terms of BVR missiles (depending on whether the MiG-23 has 2 or 4 R-23s or R-24s). Not only that but the ground air defence network the MiG-335 will be able to access will also be rather more capable too, so while the Soviets had thousands of Floggers, it wont need nearly as many MiG-35s and other modern aircraft.

    The difference is even more dramatic with ships and subs.


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    kvs

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    Re: Military budget of the Russian Federation

    Post  kvs on Sat Aug 22, 2015 3:22 pm

    Not a single f*cking budget number in the whole article. I am sick and tired of reading "journalist" excrement
    about subjects that require hard figures but have only opinion fluff instead.

    If you stand back and evaluate this spam of western "journalism" you will see nothing but wishful thinking and
    projection. It's a severe psychological pathology that taints all western thought and makes the west extremely
    dangerous.
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    magnumcromagnon

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    Re: Military budget of the Russian Federation

    Post  magnumcromagnon on Sat Aug 22, 2015 6:35 pm

    kvs wrote:Not a single f*cking budget number in the whole article.  I am sick and tired of reading "journalist" excrement
    about subjects that require hard figures but have only opinion fluff instead.

    If you stand back and evaluate this spam of western "journalism" you will see nothing but wishful thinking and
    projection.   It's a severe psychological pathology that taints all western thought and makes the west extremely
    dangerous.

    I always find it funny reading Western urine-yellow journalism articles about what Russia can't afford, while they always manage to reluctantly mention Russia's Debt-to-GDP % ratio. I wonder why... Rolling Eyes
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    KoTeMoRe

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    Re: Military budget of the Russian Federation

    Post  KoTeMoRe on Sat Aug 22, 2015 7:26 pm

    As said to GarryB over the calibre renewal, Russia has dat money on budget to have three times the number of Armata hulls when push comes to shove and still not give a single F.U.C.K. What they did was largely a publicity stunt (see we care about the crisis) since the oil money isn't going anywhere soon and the whole ruble crash even favours the Budget.

    What is more problematic is some components that need purchasing from Pure Democratic West for direct comparison, which will come through a third party anyway.
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Mon Aug 31, 2015 4:43 pm

    http://tass.ru/en/economy/817608

    So SAP 2020 will stick to the agreed initial budget when it started, but SAP2025 has been postponed till better economic conditions.

    I imagine if Russia continues on its retarded approach of playing by western financial rules, there will never be a good indicator. So they will have no choice but to abandon such practices or deal with having a much smaller military procurement plan. Initially, they wanted 55 trillion roubles for defense spending. That is a lot. More than what is even possibly needed. I say, keep it relarively low, like 10 trillion roubles and use the rest that was invisioned to be used as a sap program but for civil development.
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Mon Aug 31, 2015 7:37 pm

    http://m.ria.ru/defense_safety/20150831/1219099192.html?rubric=defense_safety

    Apparently there is a new financial instructions put into place for funding of procurement/enterprises. Forces communication as well as transparency in terms funding. The banks are chosen as well by the government that the enterprises must open an account with.
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    George1

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    Re: Military budget of the Russian Federation

    Post  George1 on Wed Oct 07, 2015 10:36 pm

    Russia's military spending in 2016 will be reduced by 225 billion rubles


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    Project Canada

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    Re: Military budget of the Russian Federation

    Post  Project Canada on Wed Oct 07, 2015 11:00 pm

    George1 wrote:Russia's military spending in 2016 will be reduced by 225 billion rubles

    that sounds big, so i guess more delays in arms procurement
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Wed Oct 07, 2015 11:31 pm

    Project Canada wrote:
    George1 wrote:Russia's military spending in 2016 will be reduced by 225 billion rubles

    that sounds big, so i guess more delays in arms procurement
    In relation to GDP expenditure section "National Defense" in 2016 up 3.7 percent. Share of total expenditures of the federal budget in comparison with 2015 (20.1%) decrease and reach 18.3 per cent. The budget appropriations in 2016 under the section "National defense" is planned in the amount of 2886 197 900 000. Rubles.

    The budget appropriations in 2016 compared to the level of 2015 decreased by 225 414.7 million. Rubles, including by reducing the budget appropriations for: - current maintenance of the Armed Forces of the Russian Federation in the amount of 56 044.6 million. Rubles; - Implementation budget investments in special military and the Defense Ministry of Russia in the amount of 104 549.3 million. rubles. The volume of budget appropriations compared to the amount approved by the Law № 384-FZ, decreasing by 227 010.8 million. rubles. Changes in the volume of budget appropriations, due to common approaches to the formation of the draft federal budget, compared to the amount approved by the Law № 384-FZ, reduced expenses 155 354 800 000. rubles. Along with the general approach to the formation of the draft federal budget, to change the cost of that section had an impact: increase budget allocations for: - current maintenance of the Armed Forces of the Russian Federation in the amount of 16 297.8 million. rubles - compensation payments to servicemen and civilian personnel of the Russian Defense Ministry in the amount of 1 739.8 million. rubles, previously provided for in the framework of the State Enterprise "Social support citizens ", - the construction of a double-track electrified railway section Zhuravka-Millerovo in the amount of 170.9 million. rubles, a decrease in budget allocations for: - the implementation of budgetary investments into special and military Ministry of Defense of Russia in the amount of 5 618.4 million. rubles. - the transfer of powers and abolished Rosoboronzakaz Rosoboronpostavki in the amount of 391.3 million. rubles other federal bodies of executive power. The budget appropriations reserved in the formation of the draft federal budget for 2016, under section "National Defense" was 5 051.2 million. rubles and will be used to: - meet the obligations assumed under the Treaty in the implementation of military-technical cooperation, as well as for activities relating to the completion of military products, delivered from the presence in the military-technical cooperation, reimbursement Russian Ministry of Defense related to the performance of work under the contracts concluded with JSC "Russian Railways" in the amount of 4 889.4 million. rubles - to ensure the activities of federal executive bodies in connection with the transfer of powers uprazdennoy Rosoboronpostavki in the amount of 161.8 million. rubles.

    No.  Nothing like that.  It is $3.4B in dollar terms reduction.  SAP2020 was agreed upon already by ministry of finance and the rest of being $300B.  Issue is that no SAP2025 was agreed upon and was frozen so chances are, there wont be any decisions on future SAP till 2020 when this one is over while 2025 was an increase + extension of SAP2020.

    Seems that cuts are most in certain maintenance and reduction in payments (this makes some sense since Russian servicemen are some of the best paid in the country in terms of state run systems).

    http://tass.ru/en/economy/817608

    They have been planning a reduction for sometime. But SAP 2020 is still ongoing. Don't worry about procurement. What I worry about is about the little things like the special forces/services that are getting a huge portion of the cut.

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    Re: Military budget of the Russian Federation

    Post  Austin on Thu Oct 08, 2015 5:06 am

    So budget is 2.88 Trillion Rouble for 2016, To reach Planned expenditure of 23 trillion Rouble by 2020

    they need to spend 2.30 trillion rouble each year for 2017 ,18,19,20
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Thu Oct 08, 2015 5:14 am

    Austin wrote:So budget is 2.88 Trillion Rouble for 2016, To reach Planned expenditure of 23 trillion Rouble by 2020

    they need to spend 2.30 trillion rouble each year for 2017 ,18,19,20
    So they could....... drop the budget even more by 2017 to exactly 2.3T Rubles and keep it at that rate for 18 19 and 20.

    Dont say it too loud though, maybe Russian finance MoD is reading the forums? lol.

    I imagine next SAP (2025/2027) may end up being smaller or the same as this one. Roughly $300B for procurements to meet the remaining demand of modernization and investments. After modernization is complete, there will probably be a new form of modernization but much smaller where SAP's afterwards may be smaller (maybe $200B or less). As SAP's are different than the overall defense budget but added in to total figures.
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    magnumcromagnon

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    Re: Military budget of the Russian Federation

    Post  magnumcromagnon on Thu Oct 08, 2015 5:28 am

    sepheronx wrote:
    Austin wrote:So budget is 2.88 Trillion Rouble for 2016, To reach Planned expenditure of 23 trillion Rouble by 2020

    they need to spend 2.30 trillion rouble each year for 2017 ,18,19,20
     So they could....... drop the budget even more by 2017 to exactly 2.3T Rubles and keep it at that rate for 18 19 and 20.

    Dont say it too loud though, maybe Russian finance MoD is reading the forums? lol.

    I imagine next SAP (2025/2027) may end up being smaller or the same as this one.  Roughly $300B for procurements to meet the remaining demand of modernization and investments.  After modernization is complete, there will probably be a new form of modernization but much smaller where SAP's afterwards may be smaller (maybe $200B or less).  As SAP's are different than the overall defense budget but added in to total figures.

    I think you guys are missing a key point. Rouble devaluation and it's relation/effect on total volume of supplies:

    According to the The Central Research Institute "Electronics", the devaluation of the Rouble is set to increase the total volume of supplies of modern weapons for export as well as domestic procurement of arms by a minimum of 20%, all the way to a maximum of 60% depending on the level of the exchange rate, the duration of the planning period and the minimum level of supply of products to the domestic market and for export.

    CRI "Electronics" became the leading center for interdisciplinary research DIC economy
    Institute for the year showed the best results among similar organizations



    Employees of Central Research Institute "Electronics" for the year showed the best results among all research institutions of the military-industrial complex.

    According to the results of testing conducted by research institute figures totaled approximately 6 reports at the same scientists working in the Central Research Institute "Electronics". According to this indicator Institute significantly superior to other research organizations DIC, which over the same period presented at international and national conferences on the average on 1-2 subjects to report similar to one scholar.

    Employees of Central Research Institute "Electronics", for example, tested the hypothesis that the shortage of investment and reduce the cost of the national currency is useful to increase export sales of products, which should contribute to a speedy modernization of the defense industry.

    A study conducted by experts of the Institute, has shown that the maximum increase of exports in a few years may be appropriate.    

    According to experts, the implementation of such a strategy can increase the total volume of supplies of modern weapons for the needs of national defense by 20-60% depending on the level of the exchange rate, the duration of the planning period and the minimum level of supply of products to the domestic market and for export.

    As the number of published scientific papers and monographs published by academic economists Institute also became the best in Russia.

    According to preliminary results of the "Best Director of a research organization Defense Industry of Russia" can become CEO of CRI "Electronics" Alena Fomina.

    On the title "best scientist-economist Russia's defense industry," claims Advisor to Director General Research Institute "Electronics", Ph.D. AM Batkovsky.

    CRI "Electronics" became the leading center for interdisciplinary research DIC economy


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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Thu Oct 08, 2015 5:39 am

    That isn't surprising. Since the Ruble devaluation mixed in with sanctions has caused a massive upswing in import substitution, especially in electronics, will cause an increase in sales. It really is simple, due to the fact that once something was purchased abroad will now be purchased at home for a cheaper price, will drastically increase sales of domestic companies, as they will be the ones obtaining the orders as the procurement is still being pushed forward, thus the demand is still available. So when they only provided some electronic components for say the Su-35S in the form of a display, will now have to purchase the companies components for more than just that 1 display, but for lets say radio communication system, onboard diagnostics system, HUD, radar, etc. As well, the devaluation of the Ruble has allowed it to become significantly cheaper (the products to sell abroad) thus growing demand for Russian products.

    Essentially, someone said sometime this year, through this boards on an article posted, that sanctions mixed in with ruble devaluation has done something for Russia that only could have been possible if Russia done via heavy tariffs which would have been against the WTO and cause problems for Russia in legal sense.

    Austin

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    Re: Military budget of the Russian Federation

    Post  Austin on Sat Oct 24, 2015 8:29 am


    Spending on national defense in the draft budget for 2016 is planned in the amount of 3 trillion 145 billion rubles

    10/24/2015 0:16:13

    Moscow. October 24. Interfax - The draft budget for 2016 assumes defense spending of $ 3 trillion 145 billion rubles, which is 4% in relation to GDP.

    According to the draft law "On the Federal Budget for 2016", submitted by the Government of the Russian Federation on Friday to the State Duma, the share in total expenditures of the federal budget in comparison with 2015 (20.2%) and a decrease of 19.6 percent.

    The budget appropriations in 2016 under the heading "National defense" is planned in the amount of 3145 090 700 000. rubles.

    The draft budget for 2016, the cost of the "National Security and Law Enforcement" amount to 2.6% in relation to GDP. Share of total expenditures of the federal budget in comparison with 2015 (12.8%) decrease and reach 12.4 per cent.

    The budget appropriations in 2016 under the heading "National Security and Law Enforcement" planned at 2024 099 400 000. rub.
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    sepheronx

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    Re: Military budget of the Russian Federation

    Post  sepheronx on Sat Oct 24, 2015 5:23 pm

    Will be interesting after SAP2020 what they decide to do. Cause that will effect the def budget greatly. If they decide that the next SAP is half of the current amount for 5 years (procurement set at lets say 10T Rubles rather than the current 24T), then that would drop the defense budget greatly as they wont have to pay for as much. Save revenue would then go to other projects or straight to the reserve funds.

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    Re: Military budget of the Russian Federation

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