Some Rises, Drops in 2011-12 NZ Defense Budget

26 Mei 2011

NZ Army during Hellfire Exercise (photo : NZ Army)

WELLINGTON - New Zealand's defense budget will increase by a nominal 2 percent for the 2011-2012 fiscal year, rising to 2.9 billion NZ dollars, according to figures released by the government.
The budget, announced May 19, continues to give the largest slice of the New Zealand Defence Force's dollars to the Army, although for the second year in succession, the Army's share has shrunk - from 843 million NZ dollars last year to 832 million, including more than 380 million NZ dollars for land combat forces.

The Army's loss is arguably the Navy's gain, as their budget has increased by 20 million NZ dollars to almost 693 million NZ dollars.

The service's two Anzac-class frigates continue to be the military's most expensive assets, accounting for more than half of the Navy's budget - 408 million NZ dollars.

Also enjoying a budget boost, for the third year in a row, is the Air Force, with 670 million NZ dollars. The service's fixed-wing transport fleet of five C-130H Hercules and two Boeing 757s accounts for almost 40 percent of its budget. The Air Force's six P-3 Orions, being upgraded to P-3K2 status, account for 25 percent.

However, the NZDF's operational budget is down from 78 million to 71 million NZ dollars.

The budget for the Secret Intelligence Service has dropped slightly, and what is described as "communications security and intelligence," which likely includes the Government Communications Security Bureau with more than 300 staff, will have to manage with a significant cut in its funding from 74 NZ million dollars to 56 NZ million dollars.

(DefenseNews)