Russian PM approves 2016-2020 defense industry development program

Russia's Prime Minister Dmitry Medvedev delivers a speech during the finance ministry's expanded board meeting in Moscow, Russia, April 20, 2016. [Photo/Agencies]

MOSCOW - Russian Prime Minister Dmitry Medvedev said Monday he had approved a new program to develop the country's defense industry for 2016-2020.

"We need a modern defense industry, which is capable of satisfying the needs of our military and executing the weapon delivery program, as now we are conducting re-equipment of the entire Russian Armed Forces with new types of weapons," Medvedev said.

"There are certain objectives that must be achieved, and of course, it is necessary to ensure the competitiveness of our products on a global scale," Medvedev was quoted in an official transcript as saying at a meeting with his deputies.

Medvedev vowed that Russia should keep its position of the second largest supplier of weapons in the global markets with advanced military-industrial complex.

During the meeting, Deputy Prime Minister Dmitry Rogozin said that 1.067 trillion rubles ($16.2 billion) would be allocated from the federal budget for implementation of this program.

He added that measures would be taken in particular to support enterprises working for the defense industry complex, human resource development, substitution of imported military products and scientific researches.

The 2016-2020 defense industry development program envisages improving the competitiveness of products and exploiting innovative potential in the field of military-industrial complex in domestic and external markets, according to official online documents.

It implies the growth of military-industrial production by 1.8 times by 2020 from 2014, and an increase of the share of innovative products in total production to 39.6 percent in 2020 from 34.4 in 2016.

Under the program, by 2020 the labor productivity of an average worker of the defense industry should rise by 2.4 times from 2014, and an average monthly wage by 1.8 times over the same period.

At the same time, the program envisions the share of civilian products in total output of the defense industry to rise by 1.3 times between 2016 and 2012.