{"id":59915,"date":"2017-08-14T00:13:05","date_gmt":"2017-08-14T00:13:05","guid":{"rendered":"https:\/\/one.sightlinemg.com\/defensenews\/uncategorized\/2017\/08\/14\/italy-defense-budget-drops-in-2017\/"},"modified":"2026-08-08T00:24:56","modified_gmt":"2026-08-08T00:24:56","slug":"italy-defense-budget-drops-in-2017","status":"publish","type":"post","link":"https:\/\/one.sightlinemg.com\/defensenews\/global\/europe\/2017\/08\/14\/italy-defense-budget-drops-in-2017\/","title":{"rendered":"Italy defense budget drops in 2017"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">Italy\u2019s defense procurement spending stands at \u20ac4.69 billion this&nbsp;year, a slight drop on the \u20ac4.72 billion spent last year, new&nbsp;government budget figures revealed.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The figures are contained in Italy\u2019s 2017 defense budget, which was&nbsp;released this month, months later than its usual May release date.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In a year when Rome has come under fire from the Trump administration&nbsp;for not achieving the NATO defense spending target of 2 percent of&nbsp;GDP, the new budget suggests Italy will not make the target for some&nbsp;time to come.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The procurement total is made up of spending of \u20ac2.14 billion by&nbsp;the defense ministry and top-up spending of \u20ac2.55 billion by&nbsp;Italy\u2019s Ministry for Economic Development, which is exclusively spent on&nbsp;Italian industrial defense programs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The budget document, which has been seen by Defense News, gives figures&nbsp;for 2017, but also projections for 2018 and 2019, as is customary.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Ministry of Defense procurement spending is seen dropping further than&nbsp;rising in the next two years, down to \u20ac2.12 billion in 2018 then up&nbsp;to \u20ac2.16 billion in 2019.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The dip in procurement spending parallels a fall in the overall defense&nbsp;ministry budget, which contains the ministry\u2019s portion of procurement&nbsp;spending, as well as personnel and Maintenance and Operations spending.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This year\u2019s total is \u20ac13.21 billion, down from \u20ac13.36 billion last year. The 2017 figure contains \u20ac1.27 billion for M&amp;O and \u20ac9.8&nbsp;billion for personnel.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The document announces the kickstarting of a series of new programs,&nbsp;including \u20ac35 million over three years for work on the prototype of&nbsp;an upgraded version of Italy\u2019s Ariete battle tank, many of which are out&nbsp;of service due to a shortfall in maintenance funding.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Some \u20ac2.5 million is also made available for the lease this year of&nbsp;a signal intelligence aircraft, a likely reference to the reported&nbsp;leasing of a King Air aircraft already being used to fly from Italian&nbsp;islands in the Mediterranean to carry out surveillance missions off Libya.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The document states a further \u20ac10.4 million will be found in 2018&nbsp;and 2019 to keep the lease going, while money will be found to launch&nbsp;the acquisition of two SIGINT aircraft next year.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Five million euros will also be found over the next three years to fund&nbsp;a new jamming system for bringing down micro-UAVs, the budget states.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The document draws up a wish list of programs the military would like to&nbsp;launch when money becomes available, including a new light, training&nbsp;helicopters and aircraft for the Air Force and a special forces, ground&nbsp;support version of the C-27J.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Other programs on the wanted list, including the new MBDA CAMM-ER&nbsp;missile due to replace Italy\u2019s Aspide missile, special forces Chinooks&nbsp;and a longer ranger version of the under-development Piaggio Hammerhead&nbsp;UAV, may yet receive funding from a separate \u20ac12.8 billion funding&nbsp;stream now awaiting approval from Italy\u2019s finance ministry.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Existing programs already underway receive their annual funding,&nbsp;including \u20ac182.3 million for Italy\u2019s new Landing Helicopter Dock&nbsp;vessel, \u20ac724 million for the F-35 program, \u20ac384.8 million to complete the&nbsp;acquisition of FREMM frigates and 388.7 million for new PPA vessels.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The document\u2019s authors urge Italy\u2019s parliament to pass a bill which&nbsp;would institute six year defense budgets, and which would give generals&nbsp;a better idea of the money they have to spend, while giving industry a&nbsp;more stable idea of orders to be placed. That bill, which was inspired&nbsp;by Italy\u2019s 2015 defense White Paper, is currently awaiting approval in&nbsp;parliament.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">With no extra funding next year, the document warns that Italy\u2019s&nbsp;acquisition of NH90 helicopter, FREMM frigates, VBM armoured vehicles&nbsp;and Eurofighter aircraft could all face a slow-down.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Italy\u2019s defense procurement spending stands at \u20ac4.69 billion this year, a slight drop on the \u20ac4.72 billion spent last year, new government budget figures 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