The 2011 draft budget provides allocation of $386 m to Armenia’s defense sector, against $12.3 m in 2010 (3.5% more).

A total of $373 m out of these funds will be directed to military necessities, while $12.2 m to other expenditures.

Responding to the question by NEWS.am correspondent, Armenian Defense Minister said that defense sector definitely needs more financing than provided in the budget. However, due to work carried out by the army and country’s leadership, Armenia manages to find off-budget funds with assistance of partner states. Ohanyan noted that in the course of a joint work of the defense and finance ministries they managed to “knock out” maximum financing for the defense sector. Part of the resources would be allocated to increase in salaries of the servicemen. Certain amounts will be provided for technical re-equipment of the army.

The Minister called not to compare Armenia’s defense budget with those of neighboring states, in particular Azerbaijan, as difference in budget financing can be compensated with efficient work and expedient spending of the funds.