The recent surge in military expenditure particularly Chile and Venezuela has led to fears that South America might be involved in an arms race. However most experts feel that in spite of existing regional differences what is going on is a modernization process of the Armed Forces arsenals which are rapidly becoming obsolete.
Chile leads with annual expenditure to the tune of 3 billion US dollars funded mainly by the Copper bill, the country's main export, which earmarks 10% of the red metal earnings for the Armed Forces equipment. Chile so far has purchased F-16 fighter bombers, German Leopard 2 tanks (considered the best in the world) plus refurbished frigates for its surface fleet and two brand new submarines. Venezuela in spite of the US boycott has done extensive shopping in Russia, China, Brazil and other suppliers. The latest purchase involved 2.2 billion US dollars. Last year Venezuela incorporated Russian Sukhoi-30 and Sukhoi-35 fighter bombers, last generation helicopters and 100.000 AK-103 assault rifles. Apparently together with Iran President Hugo Chavez is intent in developing short range missiles. But fears that a heavily armed President Chavez regime might be involved in regional conflicts such as in Bolivia have been discarded by analysts. "Venezuela does not have conditions to intervene militarily in Bolivia. Besides logistics problems, domestic conditions and international law are against it", said Luiz Alberto Moniz Bandeira an academic expert in international relations from Sao Paulo University. According to Professor Michael Radseck from the IberoAmerican Research Institute in Hamburg, the purchase of military hardware by President Chavez is more closely related to his objective of arming civilians, through a system of militias, that threatening neighbors. "Chavez argues that his purpose is to prevent a US invasion by using guerrilla tactics. But the fighter bombers purchased from Russia still don't have the infrastructure or adequate landing strips in the country for adequate operations, and the assault rifles are not much use in conventional conflicts", added Rakseck. But this does not mean it should go unnoticed. "These weapons can increase violence in the country and favor arms illegal trafficking in South America helping to increase crime and provide guns for the drug trade", said Rakseck. Peru and Ecuador recently purchased jets and tanks and increased their defense budgets. Argentina has defense experts visiting Europe searching for the "best buy", which indicates that the country is in the process "of increasing military expenditure in the short term". Brazil which has the highest defense budget in the region, 6 billion US dollars but was lagging in updating equipment compared to its neighbors announced an increase in military expenditure, almost 50%. Plans include a nuclear powered submarine that was sleeping in the Navy's desk, and the purchase of adequate equipment for a proper surveillance of the Amazon zone. "After decades of collecting military junk and cutting expenditure, what we are seeing is a resurgence of new acquisitions, which is only normal, and is not an arms race", he concluded.
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