Market Research Report
Pakistani Defense Market - Attractiveness, Competitive Landscape and Forecasts to 2024
|Published by||GlobalData||Product code||920840|
|Published||Content info||142 Pages
Delivery time: 1-2 business days
|Pakistani Defense Market - Attractiveness, Competitive Landscape and Forecasts to 2024|
|Published: December 19, 2019||Content info: 142 Pages||
Pakistan is one of the major non-NATO allies of the US and a significant partner with China in the area of defense and security equipment development. The internal instability caused by terrorist groups along with Pakistan's long standing territorial dispute with neighbor countries are major factors driving the year on year increase the Pakistani defense budget. Insurgencies in Balochistan and Khyber Pakhtunkhwa, rising terrorism and territorial dispute with India and Afghanistan are key issues which are expected to propel spending of government in defense sector.
Pakistan is expected to spend US$48.5 billion on defense over 2020-2024 to manage internal instability and bolster its defense capabilities with respect to India. The country's total defense budget, excluding US aid has increased at sluggish rate over 2015-2019, with a CAGR of 0.69%, the country invested US$7.6 billion in the defense sector in 2015, which further increased to US$7.8 billion in 2019. The defense budget of Pakistan decreased drastically from US$9.4 billion in 2018 to US$7.8 billion due to economic instability and turmoil which has resulted in depreciation of Pakistani currency against US dollar.
Between 2015 and 2019, Pakistan's average capital expenditure allocation was 36.8% of the total defense budget, while its revenue expenditure allocation was 63.2%. The country's military hardware upgrade strategies are expected to increase the average capital allocation to 37.8% over the forecast period. Pakistan's homeland security (HLS) expenditure, targeted towards the prevention of drug smuggling, human trafficking, robbery, corruption, and cyber-attacks, is on the increase due to the growing instances of criminal and illicit activities within the nation. HLS expenditure, valued at US$1.0 billion in 2019, grew from US$0.9 billion in 2015, at a CAGR of 2.68%.
Pakistan's domestic defense industry is able to fulfill the majority of the national requirements for low and mid-market technology defense systems, but is largely unable to supply technologically advanced defense systems. US was once biggest exporter of arms to the Pakistan however the rising tensions between these two countries has considerably affected the weapons sales. From 2014-2018 there is large reduction in the arms transfer between these two countries. However, the Pakistani export market is set to gradually grow over the forecast period, as the country begins to develop high quality indigenous defense systems.
The report "The Future of Pakistani Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2024" provides readers with detailed analysis of both historic and forecast defense industry values, factors influencing demand, the challenges faced by industry participants, analysis of industry leading companies, and key news. This report offers detailed analysis of Pakistani defense industry with market size forecasts covering the next five years. This report will also analyze factors that influence demand for the industry, key market trends, and challenges faced by industry participants.
In particular, the report "The Future of Pakistani Defense Industry - Market Attractiveness, Competitive Landscape and Forecasts to 2024" provides an in-depth analysis of the following -
Companies Mentioned: Karachi Shipyard & Engineering Works (KSEW), Pakistan Aeronautical Complex (PAC), Pakistan Ordnance Factories (POF), Pakistan Space and Upper Atmosphere Research Commission (SUPARCO), Heavy Industries Taxila (HIT), The Heavy Mechanical Complex (HMC), Surveillance and Target Unmanned Aircraft (SATUMA), Boeing, Raytheon, Lockheed Martin, Chengdu Aircraft Industry Group, Turkish Aerospace Industries (TAI), Aselsan