Tuesday 29 April 2014

MENA military spending to reach $920 billion by 2020: study | Al Akhbar English

MENA military spending to reach $920 billion by 2020: study | Al Akhbar English:



"Military spending between 2014 and 2020 in the Middle East and North Africa will total $920 billion, IHS Global Insight said in a forecast Tuesday.



The US-based consulting firm did not give an overall breakdown at the end of a forum it hosted in Dubai, but said $27 billion will have been injected into the economies of the Arab nations of the Gulf by 2020 from defense deals via offsets.



Offsets are agreements in which a supplier agrees to buy products from the party to whom it is selling, in order to win the buyer as a customer and offset the buyer's outlay.



Guy Anderson, senior principal analyst at IHS Jane's Aerospace, Defence and Security, said Saudi Arabia will gain most from its offset program with $12.6 billion to be added to the OPEC kingpin's economy from such deals by 2020."



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