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South Africa

In November 1998 the South African government provisionally ordered £3 billion of European arms. The order has, thankfully, been scaled down, but the weaponry will still cost a massive $6.5 billion, which, says "The Economist", is about half the annual budget of South Africa's creaking education system. The equipment still on order is:

  • 8 British Aerospace / SAAB Gripen fighter aircraft (UK and Sweden);
  • 12 British Aerospace Hawk 100 fighter trainers (UK);
  • 30 Agusta helicopters (Italy);
  • 4 Meko patrol corvettes (Germany);
  • 3 Agusta type submarines (Germany).

The aircraft sales were underwriten by guarantees for £1,679.9 million from the UK's Export Credits Guarantee Department.

Jobs promised, but can they be delivered?

The arms were sold to South Africa largely on the promise of offsets, that is, the European companies investing in South Africa and generating 65,000 jobs there. About 20% of the offsets were to be in military production, the rest in civil industry. There is considerable scepticism about this, particularly from academics studying similar arrangements elsewhere. The experience is that such schemes do not produce anything like the number of jobs promised.

Bribery allegations

The deal has, perhaps unsurprisingly for one so huge, attracted a number of allegations of bribery. In February 2003, as a result of one such allegation, Tony Yengeni, the Chairman of the South African parliament's Defence Committee at the time of the negotiations, was found guilty of fraud.

Poverty is the biggest security problem

South African organisations concerned with development, the environment and human rights, as well as church bodies, have opposed the purchase. They are concerned that it will severely undermine their country's economic and social development, and will further aggravate the poverty of most South Africans. Many live in shacks, whilst the provision of clean water and electricity remains a luxury for all but the elite. South Africans also face terrible problems as a result of HIV/AIDs.

CAAT produced a 2003 report on the deal (pdf) and additional information can be also obtained from Economists Allied for Arms Reduction South Africa.

Campaign Against Arms Trade, 11 Goodwin St, Finsbury Park, London N4 3HQ
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