Australia to Spend $65Bln on Navy Over 20 Years – Ministers

Australia’s prime minister and defense minister stated that Australian government intends spending 89 billion Australian dollars (about $65 billion) to boost the country's naval capabilities over the next 20 years.

MOSCOW (Sputnik) – The Australian government intends spending 89 billion Australian dollars (about $65 billion) to boost the country's naval capabilities over the next 20 years, Australia’s prime minister and defense minister said in a joint statement Tuesday.

"The Commonwealth Government is delivering a long-term plan for a strong and sustainable naval shipbuilding industry. Over the next 20 years the Government will invest over $89 billion in ships and submarines for the Navy," Tony Abbott and Kevin Andrews said in a statement published on the Liberal Party of Australia's website.

The decision will allow for the launching of the continuous onshore build program, called Future Frigate, in 2020 and a similar program for offshore patrol vessels in 2018, according to the statement.

The investment is expected to sustain about 1,000 jobs in the short term and guarantee approximately 2,500 shipbuilding jobs in the long term perspective.

The Australian government’s decision ties in with the new Defence White Paper, set to be released by the end of 2015. The document is expected to detail the government’s plan to equip the Australian Defence Force to handle modern challenges.