Like many aspects of Saudi Arabia's security posture, the country has traditionally been highly secretive regarding the size of its defence budget. It does not reveal or publish its annual spending levels, or the levels of its defence imports and exports. In 2013, BMI anticipated that the country spent US$68.8bn on defence. We expect increases in defence spending to US$78.2bn in 2014
It was reported in November 2013 that Saudi Arabia was considering the purchase of conventional hunter-killer submarines from Germany. Riyadh is thought to be especially interested in the Type-209 boat which is built by German shipbuilders.
Underlining the threat that Saudi Arabia continues to face from internal terrorism, five Al-Qaeda militants were convicted in a Saudi court in January 2014 of a plot to attack an oil refinery in the city of Yanbu on the country's Red Sea coast. They were given prison sentences of up to 25 years, and the individuals included 15 Saudi nationals and a Yemeni. Earlier in late December 2013, Saudi Arabia announced that it had closed down an al-Qaeda cell, in cooperation with the authorities in the United Arab Emirates, thought to be planning attacks throughout the Kingdom.
Saudi Arabia is also enhancing its role in Lebanon having made a grant worth US$3bn to the country for the purchase of military equipment. The money is expected to be used by the Lebanese government to purchase military equipment from France. Meanwhile, in late December 2013 it was announced that Saudi Arabia was leading the efforts of the Gulf Cooperation Council to build a multinational force of 100,000 personnel under a Joint Military Command (JMC). The JMC is expected to be headquartered in Riyadh and could include a substantial contribution from Saudi Arabia's National Guard.
In late November 2013, it was reported locally in Saudi Arabia that the Kingdom is expected to soon make diplomatic overtures to Iran in the wake of a landmark deal over the Islamic Republic's clandestine...
The Saudi Arabia Defence & Security Report features Business Monitor International (BMI)'s independent forecasts for national and international security, the defence industry, military expenditure, employment in arms production, and arms imports and exports, as well as examining industry trends and prospects, national and multinational arms producers and the regulatory environment.
BMI's Saudi Arabia Defence & Security Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and regional competitive intelligence on the Saudi defence and security industry.
- Benchmark BMI's independent defence and security industry forecasts on Saudi Arabia to test other views - a key input for successful budgetary and strategic business planning in the Saudi defence and security market.
- Target business opportunities and risks in the Saudi defence and security sector through reviews of latest industry trends, regulatory changes and major deals, projects and investments in Saudi Arabia.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. KPIs and latest activity).
Global and Regional Political Outlooks
A strategic overview of the world's major political risks, identifying countries facing leadership successions and nations at risk of upheaval, inter-state conflict or separatism and insurgencies, plus a summary of the world's 'wild card' low-probability high-impact risks.
Snapshot evaluation of the major issues affecting the defence and security sectors, economy and politics, with issues subdivided into 'Strengths', 'Weaknesses', 'Opportunities' and 'Threats'.
Political Risk Assessment
Drawing on BMI's heritage of more than 25 years of Country Risk analysis, this comprehensively evaluates the key risks to domestic politics and foreign relations, focusing on issues most likely to affect either domestic security or the defence sector.
Security Risk Analysis
BMI's proprietary Security Risk Ratings provide a reliable - and country comparable - guide to conflict, terrorism and criminal risk, backed up by our analyst's latest assessment of each component. Furthermore, drawing on our country risk expertise, we assess the state's vulnerability to a serious - or prolonged - terrorist campaign.
Armed Forces Spending/Expenditure
The reports contain a detailed breakdown of areas of expenditure by the armed forces, these include spending on international deployments, WMDs and missile defence systems as well as individual breakdowns of the cost-per-soldier.
Domestic Security Overview
The domestic security overview lists the various potential internal security threats facing a country, ranging from internal security issues such as terrorism, cyber terrorism, crime and drugs, to external security issues including general defence procedures and potential threats from specific countries.
BMI Industry Forecast Scenario
Historic data series and forecasts to end-2018 for key industry indicators supported by explicit assumptions, plus analysis of key downside risks to the main forecast.
Budgets & Expenditure: Defence expenditure (local currency and US$bn); defence expenditure (% of total budget); defence expenditure (% of GDP); defence expenditure per capita, US$; defence budget (local currency and US$bn).
Employment: Employment in arms production (`000s); employment in arms production (% of labour force).
Macroeconomic: BMI's forecasts and analysis of all headline macroeconomic indicators, including real GDP growth, inflation, fiscal balance, trade balance, current account and external debt.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
Domestic Security Overview
The reports also provide a regional overview which details specific issues and flashpoints affecting , along with potential risks in the coming year.