Lower Saudi Oil Receipts Won’t Stem Record Arms Imports, IHS Say
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Saudi Arabia, already the world’s largest weapons importer, will increase military spending by almost a quarter over the next five years as it seeks regional military preeminence, according to a report from analysts at IHS Jane’s.
After a “significant slowdown” in the short-term as the No. 1 oil exporter adjusts to the lower price of crude, Saudi Arabia is likely to boost its arms budget to $60 billion by 2020 from $49 billion currently, the study says. That will make it the world’s fifth-largest military spender, up from eighth.