Venezuela, which spent $4 billion on international arms purchases between 2005 and 2007, mostly from Russia and China, has a defense budget of $2.6 billion, according to the London-based International Institute for Strategic Studies.
22 Jul 2008: AP
MOSCOW: Venezuelan President Hugo Chavez called on Tuesday for a strategic alliance with Russia to protect the South American country from the United States.
Chavez is expected to reach a number of agreements for purchasing military hardware while in Moscow, according to news media reports. One newspaper reported that the deals could be worth up to $2 billion.
"That way we can guarantee Venezuela's sovereignty, which is now threatened by the United States," Chavez was quoted by Russian news agencies as saying.
Chavez was scheduled for his first meeting with Dmitry Medvedev since he became Russia's president in May. He also will meet with Prime Minister Vladimir Putin and Russian military and business leaders, Chavez spokesman Tomas Ramirez said.
Russia's daily Kommersant reported Tuesday that Chavez is looking to order up to $2 billion worth of Ilyushin jets, diesel-powered submarines, TOR-M1 air defense systems and possibly tanks.
Rosoboronexport, Russia's state-owned arms trader, declined to comment on potential deals.
"We want peace, but we are forced to strengthen our defense," Chavez said when asked about the potential deals.
Venezuela, which spent $4 billion on international arms purchases between 2005 and 2007, mostly from Russia and China, has a defense budget of $2.6 billion, according to the London-based International Institute for Strategic Studies.
The U.S. stopped supplying arms to Venezuela in 2006.
Chavez also wants to discuss the possibility of creating a joint bank and investment vehicle with Russia, the ITAR-Tass agency reported.
The two sides are also expected to discuss energy deals, Venezuela's state agency reported, including expanding activities of Russia's Lukoil with Venezuela's state-run oil company Petroleos de Venezuela SA.
Lukoil is already helping Venezuela quantify heavy crude oil deposits in its Orinoco River basin one of the world's largest petroleum deposits. Russia's Gazprom has two natural gas exploration and production licenses in Venezuela.
Commercial trade between Venezuela and Russia reached $1.1 billion last year, up more than 200 percent from the $517 million in trade during 2006, according to statistics cited by Venezuela's state-run news agency.
