{"id":16182,"date":"2020-10-28T08:50:47","date_gmt":"2020-10-28T08:50:47","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2020\/10\/28\/italy-defense-budget-rebounds-despite-covid-crisis\/"},"modified":"2026-08-07T21:27:32","modified_gmt":"2026-08-07T21:27:32","slug":"italy-defense-budget-rebounds-despite-covid-crisis","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/global\/europe\/2020\/10\/28\/italy-defense-budget-rebounds-despite-covid-crisis\/","title":{"rendered":"Italy defense budget rebounds despite coronavirus crisis"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">ROME \u2014 Italy has announced a major boost to its defense budget even as the country spends millions of euros battling the devastating effect of COVID-19 on its economy.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Overall defense ministry spending is up 9.6 percent this year to \u20ac15.3 billion (U.S. $18.1 billion), with the procurement budget emerging as the big winner as it rises by 26 percent from last year if coupled with top-up spending from the industry ministry.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThis is a very positive budget for the armed forces, especially for procurement during this challenging economic climate,\u201d said Paolo Crippa, a defense analyst at the CESI think tank in Rome.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The figures are included in Italy\u2019s 2020 budget, which should have been released in the spring, but was held up by the COVID-19 crisis which hit Italy hard in March and is now threatening the country again.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This year\u2019s \u20ac15.3 billion defense ministry spending compares to just under \u20ac14 billion last year, signaling a halt in a series of year-on-year falls.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Procurement takes up \u20ac2.8 billion of the budget, up 50 percent on last year, but for a true picture of Italian procurement spending the annual top-up for domestic procurement provided by the Italian industry ministry must be added, which amounts to \u20ac2.64 billion, also up from last year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The total to spend on procurement therefore comes to \u20ac5.45 billion, up 26 percent on last year\u2019s \u20ac4.32 billion.<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/smr\/euronaval-smr\/2020\/10\/27\/french-warships-to-get-new-drone-swarm-killing-gun-derived-from-land-weapons\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"169\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/2018-RAPIDFire-Naval-Thales-Nexter-02-\u00a9Thales.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">French warships to get new drone swarm-killing gun derived from land weapons<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">France\u2019s future navy surface ships will be protected from swarm attacks by the RAPIDFire very short range weapon system developed by a Thales and Nexter consortium.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">Of the other two other spending categories in the ministry budget, Maintenance and Operations rises 23 percent to \u20ac2.15 billion, while personnel spending remains stable at \u20ac10.4 billion.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThe rise in M&amp;O spending follows claims by generals that cuts were damaging military readiness,\u201d said Crippa.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The budget was drawn up by defense minister Lorenzo Guerini, a member of the center-left Democratic Party which governs in a coalition government with the anti-establishment Five Star party. Since first entering government in 2018, Five Star has softened its anti-military stance, which saw it initially push to scrap the F-35 program.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This year, the F-35 program receives \u20ac800 million to help conclude the purchase of the first 28 of Italy\u2019s planned 90 aircraft buy. A further \u20ac126 million is also budgeted to get the purchase of the next 27 aircraft underway.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Other ongoing programs that get more funding in 2020 include the purchase of 650 new VTLM 2 vehicles \u2013 an upgrade of the army Lince vehicle, as well as a mid-life refurbishment for Italy\u2019s Storm Shadow missiles and the purchase of T-345 and T-346 jet trainers.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Further programs also getting a dose of regular funding are Italy\u2019s new, \u20ac1.17 billion LHD vessel the Trieste, a \u20ac2 billion acquisition of 150 new Centauro II wheeled tanks and a \u20ac974 million purchase of 16 new CH-47F helicopters.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Comparing the total envisaged price tag of some programs in the budget to the price listed in last year\u2019s budget reveals costs are rising.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A plan to buy four new U-212 NFS submarines has risen from \u20ac2.35 billion to \u20ac2.68 billion this year, a hike of over \u20ac300 million.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The ongoing purchase of ten PPA naval vessels has risen over \u20ac400 million to \u20ac4.27 billion.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Some programs appear for the first time in the budget, including two new \u201cDDX\u201d destroyers for the Navy. No money is earmarked in 2020 but \u20ac4.5 million is due to be used for a de-risking study beginning in 2021.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A second new entry is a listing for a \u201cmulti-mission, multi-sensor\u201d Gulfstream G-550 jet. Without stating how many aircraft Italy plans to order, the budget gives the total price tag of the program as \u20ac1.23 billion and states that funding will start in 2021.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The capabilities of the platform listed include command-and-control, \u201celectronic superiority\u201d and \u201celectronic protection of forces.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">An Italian analyst who declined to be named said the program was a reprisal of a long nurtured Italian plan for a sensor platform dubbed JAMMS, which would offer signals intelligence, communications relay and radar capabilities.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The Italian Air Force declined to comment on the program.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">An illustration of the aircraft in the budget document resembles Israel\u2019s \u201cShavit\u201d Signals Intelligence Gulfstream.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Italy already flies two Gulfstream 550 Conformal Airborne Early Warning aircraft it purchased from Israel\u2019s IAI in 2012 as part of a swap deal under which Israel purchased 30 M-346 trainers from Italian firm Leonardo.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The budget document states that after getting underway, the new program will take onboard future technology advancements and the benefits of \u201cinternational cooperation accords.\u201d<\/p>\n\n\n\t<aside class=\"smg-interstitial-link wp-block-smg-interstitial-link\">\n\t\t<a href=\"https:\/\/one.sightlinemg.com\/defensenews\/global\/europe\/2020\/10\/22\/european-nations-should-shape-their-air-combat-fleets-to-support-the-f-35-us-analysts-say\/\" class=\"smg-interstitial-link__inner\">\n\t\t\t\t\t\t\t<div class=\"smg-interstitial-link__media\">\n\t\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"300\" height=\"198\" src=\"https:\/\/one.sightlinemg.com\/wp-content\/uploads\/2026\/08\/GettyImages-1179218792.jpg.jpg?w=300\" class=\"smg-interstitial-link__image wp-post-image\" alt=\"\" \/>\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"smg-interstitial-link__content\">\n\t\t\t\t<span class=\"smg-interstitial-link__kicker\">Related<\/span>\n\t\t\t\t<h3 class=\"smg-interstitial-link__title\">European nations should shape their air-combat fleets to support the F-35, US analysts say<\/h3>\n\t\t\t\t\t\t\t\t\t<p class=\"smg-interstitial-link__excerpt\">A report commissioned by U.S. European Command considers the hypothetical premise of a Russian land grab on NATO&#039;s eastern flank.<\/p>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/a>\n\t<\/aside>\n\t\n\n\n<p class=\"wp-block-paragraph\">The analyst said, \u201cThere is a plan to buy the platform now since the Gulfstream G550 is going out of production, then add Israeli systems in return for purchases by Israel from Italian industry.\u201d<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Programs on the military\u2019s wish list which do not have any funding earmarked yet also get a mention in the budget document, starting with investment in the U.K.-led Tempest program for a future sixth-generation fighter.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But the absence of cash for the program, which the U.K. and Sweden have already invested in, risked making Italy the weakest partner in the trio, wrote Italian defense publication RID.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cIn this way, there is the risk that Italy\u2019s ability to influence the development decreases and it will be weaker when it comes to future talks on the dividing of manufacturing,\u201d the publication stated.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The document also confirms Italy\u2019s interest in joining the U.S. Future Vertical Lift helicopter initiative to build next generation helicopters, which is currently being pursued by the United States only.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Government officials have already <a href=\"https:\/\/www.defensenews.com\/global\/europe\/2020\/09\/25\/italy-eyes-path-into-us-armys-next-gen-helo-program-thanks-to-eu-pandemic-relief-fund\/\" target=_blank>mulled investing in the program<\/a> using funds paid out by the EU to help the Italian economy rebound from COVID-19.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Analysts have suggested that buying into FVL may overlap with work by Italy\u2019s Leonardo to build the AW249, a replacement for Italy\u2019s AW129 Mangusta attack helicopter.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This year, the plan to complete a \u20ac2.7 billion purchase of 48 of the AW249 helicopters receives funding in the budget.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cThere is cash for the successor to the AW129 but seeing the mention of the FVL confirms Italy is also interested in that initiative,\u201d said Crippa.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>New programs include a command-and-control aircraft and &#8220;DDX&#8221; destroyers, according to budget documents.<\/p>\n","protected":false},"author":7,"featured_media":29511,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_canonical":"","_acf":"","_yoast_wpseo_primary_category":46,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_smg_distribution_targets":[]},"categories":[160,46,11,36],"tags":[],"coauthors":[3345],"class_list":["post-16182","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-news-roundup","category-europe","category-global","category-newsletters"],"acf":{"subheadline":"","legacy_arc_id":"MFBCX6YKZJDELHVCTJ6HZ4QYDU","arc_canonical_url":"\/global\/europe\/2020\/10\/28\/italy-defense-budget-rebounds-despite-covid-crisis\/","remove_feature_photo":false,"is_sponsored":false,"subtype":"","redirect_url":"","disable_inline_ads":false,"native_logo_pretext":"Presented By:"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Italy defense budget rebounds despite coronavirus crisis - Defense News<\/title>\n<meta name=\"description\" content=\"New programs include a command-and-control aircraft and &quot;DDX&quot; destroyers, according to budget documents.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Italy defense budget rebounds despite coronavirus crisis\" \/>\n<meta property=\"og:description\" content=\"New programs include a command-and-control aircraft and &quot;DDX&quot; destroyers, according to budget documents.\" \/>\n<meta property=\"og:url\" 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