MOSCOW. Sept 13 (Interfax-AVN) - About 8.5 billion Russian rubles ($291 million) will be allocated from the state budget in fulfillment of the federal 2002-2006 program for reforming and developing the national defense industry next year, a source in the State Duma Defense Committee told Interfax-Military News Agency Monday.
"The draft budget provides for the 8,420 million Russian rubles ($290 million) to be allocated for the implementation of the measures under the program," he said.
For instance, 2005 is likely to see the reconstruction of 25,000 square meters of facilities and re-equipment of 38 defense industry enterprises (of which 25 will return to operation already in 2005). It is expected that the 980 million rubles ($33.5 million) to be invested in the coming 12 months will result in the growth of defense industry output by 600 million rubles ($20 million).
The source added that the program is aimed to reform the industry for it to meet the tasks laid down in the state armament program for 2001-2010.
"The measures to be taken under the program are determined by the necessity to keep the mobilization capabilities at the required level, to develop stable conditions for the defense industry operation, and to invent and manufacture competitive hi-end defense and commercial products," the source said.