About Dh4.5b military contracts awarded on the opening day

The UAE Armed Forces expects to award contracts worth Dh20 billion before the end of Idex 2017, organisers said on Sunday.

On the opening day of the event, around Dh4.5 billion military contacts were awarded to various international and local companies.

Among the big contracts announced on Sunday include with International Golden Group for around Dh391 million to provide ammunition for ground forces, for the supply of 8x8 armoured tanks with Nimr automotive for Dh2.4 billion

Finland’s Patria land systems was awarded a contract of Dh255 million to supply four generation equipment, with Abu Dhabi Ship Building to provide electrical equipment for Dh100 million, with Caracal for the supply of light ammunition rifles is valued at around Dh181 million among others

“By the end of Idex we expect to have contracts of about Dh20 billion,” Rashid Al Shamsi, a spokesman of Idex told reporters at a press conference in Abu Dhabi.

Re-emergence of Iran

Gulf countries are spending millions of dollars to buy equipment as security threats grow in the region due to the emergence of Daesh and conflicts in Syria and Yemen. Re-emergence of Iran following years of international sanction is also causing concern among GCC member countries.

According to the consultancy, IHS Jane’s Middle East defence budgets will return to growth in 2017 as the region increases its drive to acquire new military capabilities following a dip due to the collapse in oil prices.

IHS Jane’s expects 2 to 3 per cent growth a year by 2018 in real terms. Defence spending for the Middle East and North Africa region will rise to around $180 billion by 2020, the consultancy said in a report released last week.

More than 1,200 defence firms from fifty seven countries are taking part in the five day event that got underway on Sunday at Abu Dhabi International Exhibition Centre.

Big names in the global defence industry including Lockheed Martin, Raytheon, Boeing, Embraer, Northrop Grumman will be showcasing their latest technology and defence equipment

source : gulfnews