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Colombia Defence and Security Report Q1 2015

69 Pages BMI Research December 24, 2014 SKU: BMI5432395

Colombia Defence and Security Report Q1 2015

BMI View: Talks between the Fuerzas Armadas Revolucionarias de Colombia (FARC) and the Colombiangovernment continue on. However, with little real progress made on this front, along with the scandal of theFARC capturing and subsequently releasing a military General, these are unlikely to be resolved in thenear future. BMI expects that the defence budget and the subsequent increase in GDP will be used mostly toimprove/maintain the Colombian government's military and security forces rather than for newprocurements.

As one of the highest military spenders in the Latin American region, BMI expects Columbia tospend USD13.9bn in defence spending for 2015. We forecast that this will steadily increase over theforecast period and beyond. However with peace talks continuing with the FARC, there is a slight chancethat should the war end that there may be a stunt in the growth of the country's expenditure. For theremainder of the forecast period (2015-2019) we expect Colombia to spend an average of USD17.3bnannually on defence, with the defence budget reaching USD21.5bn by 2019.

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Colombia Defence and Security Report Q1 2015

BMI Research
December 24, 2014

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