Presentation of Norway's Defense Budget For 2001
 
(Source : Norway Ministry of Defense ; Web-posted Oct. 12, 2000)
 
 
Statement by Bjørn Tore Godal
Minister of Defense


One of the main tasks facing the Defence Establishment in the coming years will be to achieve a balance both between the tasks assigned to the Armed Forces and the available resources and between the investment in new materiel and the cost of running the organisation.

To achieve this, the Armed Forces are having to undergo a continuing process of wide-ranging restructuring. If the operating budget were allowed to follow the current trend, a situation would arise in a few years time in which defence funding would cover only the Armed Forces running costs with nothing remaining for the renewal of materiel.

The need for traditional invasion defence is much reduced following the end of the Cold War. Other tasks, such as international crisis management, have on the other hand assumed much greater importance. The security situation in Europe suggests that the countries in the region should cooperate more closely in defence matters. Such cooperation will also serve to strengthen the future security and sovereignty of individual nations.

The experiences of the last decade indicate that we, in concert with other countries, should have contingency plans ready in case the need arises to intervene in minor regional armed conflicts either in or outside Europe.

Even if the type of conflict I have alluded to does not break out in our immediate neighbourhood, experience has shown that such conflicts can also have direct consequences for Norway. The security situation that exists today suggests that we need to place greater emphasis on the management of international crises. Norway has, in common with other allied countries, an independent responsibility to contribute towards peaceful development in the Euro-Atlantic area.

At the same time it is important to the Government that Norwegian security and defence policy should measure up to the challenges that face Norway as a nation both at home and in our neighbouring areas. Both Norwegian territory and the bordering areas are still of great strategic, political and economic importance. This means that Norway must have the capability and the competence required to safeguard our vital interests, both nationally and internationally.

In relation to other sectors of society, however, we cannot expect to see any noteworthy increase in the funding allocated to defence in the coming years. It will therefor be necessary for the Defence establishment to lower its sights somewhat in respect of certain tasks in order that we may achieve a balance in the budget.

The Government wishes to prepare the way for the efficient utilisation of resources in the defence sector.

The Government will present its views regarding the future structure of Norwegian Defence in a new Long-Term Report early in 2001. This will build on the recommendations of the cross-party Defence Policy Commission and those of the Defence Study 2000 report produced by the Chief of Defence, both submitted in June 2000. The priorities for the 2001 budget are essentially in line with the aims and guidelines endorsed by the Government in the last Long-Term Report, White Paper No. 22 (1997-98).

The defence budget for 2001 will give priority mainly to those areas and activities which will continue to form part of the Defence Establishment subsequent to the coming restructuring.

In the course of my visits to Armed Forces units and defence establishments, I have been heartened to meet with such a broad understanding of the need to restructure our activities.

We have a great many clever and highly skilled men and women in the Defence Organisation and this will enable us to ensure that the restructuring is carried out in line with our aims. But our success in this respect is wholly dependent on keeping the common goal in sight. The one thing that is certain is that we must restructure. We simply have no choice. (ends)

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