Indonesia Must Use Limited Funds Efficiently

24 January 2008 (Last Updated January 24th, 2008 07:03)

Indonesian President Susilo Bambang Yudhoyono has told the country's armed forces not to allow arms suppliers to dictate the size of procurement contracts. Yudhoyono says despite a 12 percent increase in the defence budget to US$3.83bn, the country still has a limited capability to spen

Indonesian President Susilo Bambang Yudhoyono has told the country's armed forces not to allow arms suppliers to dictate the size of procurement contracts.

Yudhoyono says despite a 12 percent increase in the defence budget to US$3.83bn, the country still has a limited capability to spend on defence and security, Xinhua reports.

"The TNI [armed forces] must reject to be dictated by its arms dealers," Yudhoyono says.

"Instead, it is the TNI that should dictate them."

The president says the limited funds available should be used efficiently to procure military hardware.

By staff writer