9/01/2014

Swollen Defense Budget



Ministry of Defense released its budgetary demand for FY 2015 on Friday. Total amount rose up to a new record of ¥5.55 trillion. Procurement for enhancing defense capability increased significantly in both terms of quality and quantity. Delighted with its new role of waging war with allies and participating in international security effort, the ministry embarked on a road to a full-fledged military organization.

One of the symbols of the ministry’s new era should be obtaining tilt-rotor transporting aircraft, or Osprey. It has a plan of purchasing seventeen Ospreys by FY 2018 to deploy in newly established amphibious mobile unit. ¥96 billion for six brand-new stealth fighter jets, F-35, was also included in the demand. For protecting isolated islands within Japan’s territory, budgets for company attacking enemy’s bases and for assault landing vessels were newly introduced. It also projects for building two vessels with aegis communication system.

As known by most people, the procurements above are dealing with assertive activities of China in East and South China Sea. The ministry is buying twenty early warning aircrafts, unprecedentedly big number, and taking advantage of five-year installment for purchase. But it is unclear whether the effort will be sufficient for “deterring,” the expression Prime Minister Shinzo Abe loves, the dragon. There is a possibility that swollen procurement will only be resulted in a defeat in arms race.

Another point for the budgetary demand is establishing Defense Procurement Agency, which deals with from research and development to purchase. Abe sees those big shopping as a matter of economic stimulus. To reach a goal of getting rid of deflation, Abe is creating an integrated organization for buying arms in the ministry. However, history of defense procurement in Japan has been a history of corruption. Defense Facility Agency was abolished in 2007 after ill connection between the agency and private corporations were revealed.


Abe is going to change Minister of Defense on Wednesday. One of the reasons that there was no defense minister who served for a long term was interest over military procurements had been deeply connected with minister’s political relationship. Some former minister stepped down after money scandal appeared. Since there is no optimistic view of winning arms race with China, positive accumulation of defense money has to be realized as attempt of shifting an economic interest from one to another. Strange enough, Japanese taxpayers are modest to ignore it.

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