Defence Budget

• During recent years funding allocated for national defence and development of the NAF has considerably increased - in 1998 the budget of the Ministry of Defence was 24,760 million lats, in 2001 - 48,41 million lats, in 2004 - 91,385 million lats, while in 2005 - 110,117 million lats;
• In 2006 funding has grown to 154,72 million lats that is around 1,65% of GDP. The largest proportion - 110,89 million lats - are allocated to the National Armed Forces (NAF) that is for 30,6 million lats more than in 2005.

Most important mid-term (2005 - 2008) investment projects:

• Development of  military aerodrome in Lielvārde
  Funding from Latvia - 9 723 000 lats (about 13 834 600 euros)
  NATO financial support about 30 000 000 LVL (about 45 000 000 euros);
• Construction of naval forces patrol ship in Latvia - 10 100 000 LVL (about 14 371 005 euros);
• formation of the Sea Surveillance System - 16 400 000 LVL (about 23 335 097 euros);
• purchase of air-defence system RBS-70 - 22 300 000 LVL (about 31 730 041 euros);
• purchase of Naval Forces countermine ships -  ALKMAAR - 29 332 300 LVL (about 41 736 102 euros).