Operational capability of Peruvian Armed Forces to be restored with $650 million investment

The Peruvian Army has finalized several equipment contracts over the last few weeks, according to news reports. Deals were signed for the purchase of 488 Israeli and Russian anti-tank missiles. The Army has had a requirement for such weapons for quite some time. The new equipment will replace the earlier-generation Sagger and Cobra 2000 missiles currently in inventory, as well as the aging Soviet 9M14M Malyutkas. Of the total amount to be procured, 244 will be Russian Kornet missiles and 244 will be Israeli Spike missiles. The systems will cost $25 million and $48 million, respectively. The Army is further exploring the option of overhauling its fleet of Russian-built T-55 tanks. The tanks were scheduled for a modernization back in 2004 under Proyecto Arrascue in which new fire control systems and engines were to be installed. It is uncertain if the vehicles ever completed the program. The new modernization intentions indicate that the previous plans fell through. Although it has been speculated that the aforementioned equipment procurements are in preparation for a possible Chilean invasion, such an occurrence is highly unlikely. Rather, the Peruvian Armed Forces are simply seeking to modernize their out-of-date equipment and replace ageing systems in order to maintain operational capability. The acquisition of next generation weapons is part of the government's military modernization plan in which $650 million will be invested through 2011.