Reading the newspapers, I get the  impression that Iran has embarked on a massive military build-up unprecedented  since Hitler's in the 1930s. But there don't seem to be any actual numbers about  how much Iran is spending in all the verbiage.
Each year, the London-based International Institute for Strategic Studies  publishes a new edition of The Military Balance, which reports on  military budgets around the world. Unfortunately, they want 95  pounds for the book, which I can't afford. So, I've been Googling around  looking for articles in the news media that will reveal the secret of Iran's  latest military budget. I've found a lot of articles in the English-language  press inspired by the May 24th publication of the 2006 edition of the book, but  none of them seem much interested in the Iranian figures for 2005 that it  contains.
So, here's the only  article I've found. This June 1, 2006 piece is stored on the IISS website:
Iran's  defense budget remains a fraction of the expenditure of its Arab neighbors in  the Persian Gulf in per capita terms, according to the latest edition of Military  Balance.
The spending by Iran is also the least as a percentage of the country's gross  national product (GNP) in the region with the exception of the United Arab  Emirates (UAE).
Military Balance, published by the International Institute for Strategic  Studies in London, puts Iran's defense budget for 2005 at $6.2 billion.
Iran's defense budget remains a fraction of the expenditure of its Arab  neighbors in the Persian Gulf in per capita terms, according to the latest  edition of Military Balance. The spending by Iran is also the least as a  percentage of the country's gross national product (GNP) in the region with the  exception of the United Arab Emirates (UAE)....
The amount is equivalent to $91 per head of the country's 68 million population,  up to 25 times less than its neighbors on the other side of the Persian Gulf.
Saudi Arabia's defense budget of dlrs 25.4 billion corresponds to dlrs 962 per  capita, spending by Oman of $3.02 bn equates to $1,007 per head and the UAE's  $2.65 bn expenditure works out at $1,035 each for its 2.56 million inhabitants.
The ratio is even higher for Kuwait, an equivalent of dlrs 1,856 per head for  its dlrs 4.27 bn defense budget in 2005. In Qatar, the cost reaches $2,538 per  capita to make up its dlrs 3.02 bn expenditure.
In terms of the country's GDP, Iran's defense spending works out at only 3.5  percent, higher than only than the UAE's 2.23 percent among Persian Gulf  countries. [Emphasis mine]
Expenditure in Bahrain, which is equivalent to $764 per capita, is 4.1 percent  of GDP. In Qatar it is 6.19 percent, in Kuwait 6.24 percent, in Saudi Arabia  8.44 percent and in Oman 9.64 percent, the report said.
Now, this article  is from the "Islam Republic News Agency," which I presume is a  propaganda arm of the Tehran government. Still, the IISS hosts the article on  its site, so I presume it's a factual transcription of what's in the IISS  publication.
In other words, as of 2005, Iran is spending a smaller share, 3.5%, of its tiny  GDP on military matters than America is spending of its vast GDP. According to  an International Herald Tribune  article of the same day, the IISS  estimates America's military spending in 2005 as 3.7%  of our gigantic GDP.
The US GDP is more than 20 times bigger than Iran's when measured in terms of  purchasing power parity and more than 60 time bigger when measured by exchange  rates. A reader has pointed out that the effective figure is probably about  halfway in between, or 40 or so times bigger: Iran pays soldiers' wages in  purchasing power parity but has to buy technology abroad at the exchange rate.
So, what is Iran up to?
The  Guardian reported, based on Military Balance 2006:
Iran's  leaders have responded to the threat of US military action by adopting a policy  of "strategic deterrent defence", intended to complement diplomatic  means, it says. "Iran is also careful not to adopt an offensive posture.  Iran's strategy is to absorb a first strike, then initiate immediate retaliation  with all means available - but only if such a move serves political ends and  does not threaten the very existence of the Islamic regime."
The IISS said Iranian retaliation could range from instigating trouble next door  in Iraq and Afghanistan to trying to block the Straits of Hormuz, a western oil  supply route at the mouth of the Gulf. Iran may have practised minelaying in the  straits during recent military exercises.
In other words, Iran,  residing between two countries recently conquered by the U.S. and being in the  same general region as the very powerful Israeli military, is scared of being  attacked by the U.S. and/or Israel. So, it is investing, at a moderate pace, in  deterrent weapons, while being "careful not to adopt an offensive  posture."
If Iran had offensive intentions, what would it be up to? One obvious  opportunity would be its northern neighbor, Azerbaijan, which is oil-endowed,  horribly ruled, and populated by the Azeri ethnic group that makes up much of  the core of Iran's population. For example,  Ali Khameni, who is the Supreme Leader of Iran (not President Borat, as you  might imagine if you trusted the newspapers), is an Azeri.
It's like if Nova Scotia was an independent country run by a kleptocrat who had  inherited his job from his dad, a Soviet  apparatchik. And if Nova Scotia had oil! In that case, America would have  have mounted a Nova Scotian Liberation operation a long, long time ago. And yet,  Iran doesn't seem to be doing much of anything about Azerbaijan.
Similarly, Iran isn't doing much of anything anywhere else. It spends $100  million per year on Hezbollah, which has been good for PR recently due to  Israeli incompetence, and it has benefited from America spending hundreds of  billions to hand Iraq over to Shi'ites with strong ties to Iran. But mostly it  seems to be trying to deter attack by the two most dangerous countries in the  region, America and Israel.
My published articles are archived at iSteve.com -- Steve Sailer
 
 
 
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