Russia to supply $4 billion worth of arms to Algeria
As reported by INTERFAX, ROSOBORONEXPORT State Corporation has prepared a package of contracts for supply of Russian weapon and military equipment worth of more than $4 billion to Algeria.
Some of these contracts have already been initialed and expected to be signed in February 2006.
Among the ready contracts are the contracts for supply of 8 battalions of air-defence systems S-300PMU «Favorit» worth of about $1 billion, as well as batch of T-90C tanks for several hundreds million dollars.
Apart direct supply of the equipment, modernisation of the existing one is envisaged - a big batch of T-72 tanks will undergo modernisation. Industrial enterprise Uralvagonzavod shall participate in implementation of these contracts.
Payment for the supplied arms will be effected according to a complicated scheme, which also includes writing off the part of Algerian debt to the former USSR, which according to experts, comes to $4.7 billion.
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