Government to Raise Defense Budget by 20 Percent
Saturday, 11 July, 2009 | 17:08 WIB

TEMPO Interactive, Bandung: President Susilo Bambang Yudhoyono said on Friday that the defense budget will be raised by more than 20 percent in 2010. He made the statement in Bandung, during a ceremony at which state-owned arms manufacturer, PT Pindad, handed 40 armored cars to the government. Yudhoyono said, “Despite the economic crisis defense budget will be raised significantly starting from 2010.”

Yudhoyono said the 2009 defense budget was Rp 33.6 trillion. The budget in 2010 will be raised from Rp7 trillion to Rp40.6 trillion. “It will be an increase of more than 20 percent,” he said.

Yudhoyono said he plans to raise defense to around Rp100 trillion or Rp 120 trillion annually to meet “the minimum essential force.” This figure is line with the assumed economic growth of 4 – 4.5 percent.

He also said the increase should be conceptual, based on a blueprint, a roadmap and scale of priorities, and that it should be audited. “I don’t want business interests to affect the standard of defense equipment,” Yudhoyono said.

According to Yudhoyono, the increase in the defense budget will narrow the gap between the minimum essential force and the availability of funds.

Before the ceremony Yudhoyono led a meeting attended by Coordinating Minister for Politics and Security, Widodo AS, Defense Minister Juwono Sudarsono, Commander of the Armed Forces General Djoko Santoso, and Police Chief General Bambang Hendarso Danuri.

NININ DAMAYANTI