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74.

Are the principal aspects of the financing package surrounding major arms deals, (such as payment timelines, interest rates, commercial loans or export credit agreements) made publicly available prior to the signing of contracts?

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Details of the financing package surrounding large arms deals (such as payment terms, interest rates, commercial loans or export credit agreements) are generally not made public before the signing of the contracts. contracts. because they are classified for reasons of national security and strategic sensitivity. Those are details protected by secret-defense [1]. In Benin, procurement plans relating to defence and security are not published [2].

There are no details relating to the financial aspects of arms contracts made public either before or after the signing of the contract or after the signing [1] [2].The pretext of defence secrecy is once again put forward.

In the defence sector, some major procurements such as the purchase of arms lack transparency. Although the public procurement process for ordinary purchases is open to competition, the bidding process for equipment classified as secret (arms, ammunition, war material in general) is not transparent because their contracts are negotiated at the political level. In addition, there is a special commission responsible for granting exemptions for the allocation of secret contracts that has a significant influence on the procurement process. Finally, the financial arrangements used to pay for these contracts are not publicly available and remains secret.[1][2]

Arms contracts and information on their financing are not made public. Some information leaks to the press and sometimes the amount is mentioned, but the information is not very detailed. [1, 2].

Major arms and military procurement deals occasionally become public as a result of parliamentary approval discussions. This is usually in rare cases. This is exemplified in the procurement loan deal of USD 86.12 million for military supplies in August 2020 with an Israeli military equipment supplier, Elbit Systems Land Limited (1). This was specifically intended to procure armored vehicles and ammunition. These deals are rarely made public, but some governments may choose to do so for political reasons, hoping to reap political benefits (2). The public cannot access the major agreements of the procurement arrangement, such as interest rates, payment deadlines and export credit facilities.

Details of the financing package are not publicly available. There may be no information on whether a financing package exists at all. What exists is Duty Exemption: the Kenya Revenue Authority Excise Duty Act 2015 exempts duty on all goods including supplies, equipment, machinery, and motor vehicles for the official use by the KDF & National Police.

The UN Security Council lifted Liberia’s arms embargo in Resolution 2309 (2016), enabling the country to acquire weapons under national control mechanisms.[1] Since then, Liberia has not engaged in major arms purchases financed through commercial loans, export credit arrangements, or national capital investment, reflecting the country’s limited defence modernisation capacity.[2] Instead, Liberia relies heavily on bilateral military assistance, principally from the United States. In the meantime, the US Government is providing military aid to Liberia’s Armed Forces based on bilateral military assistance.[3] However, the financial details of these aid packages, such as payment timelines, valuation of equipment, and terms of continued support, are unknown.[4][5] Liberia does not make the financing package details on arms deals publicly available in advance.

The only information that the public can have is that found in the finance law in which the defence budget appears [1]. The contracts are not included nor are the suppliers. The identity of the suppliers is only known after the delivery of military equipment to members of the defence forces [2]. In this case, payment schedules, interest rates, commercial loans or export credit arrangements are not known.

The overall package of amounts allocated to the defence and security sector is included in the finance law,[1] it is also possible to find in the consolidated procurement plan details on certain types of contracts planned for the year.[2] However, the details relating to armament contracts are not made public, in fact, neither the payment schedules, nor the interest rates, nor the commercial loans or the arrangements relating to export credits are made public. Some information about purchases or successful delivery of equipment is sometimes given to the press but with little details.[3][4]

Although the information on the defence budget appears in the General State Budget [1], there is no objective description of the main aspects of the financing package surrounding the main arms deals. Therefore, details of the financing package are not publicly available because it is considered strategic information and protected by military secrets [2] and state secrets [3]. Also, the principal aspects of the financing package surrounding major arms deals, such as payment timelines, interest rates, commercial loans or export credit agreements, and the signing of contracts are not publicly available because they are considered strategic information and classified material.

Niger does not publicly disclose the financing package details surrounding major arms deals, including payment timelines, interest rates, commercial loans, or export credit agreements. There is no evidence that the existence of a financing package or the identity of its provider is normally made public [1]. While some major procurement plans may become known through international media, this typically occurs after contracts have already been signed, rather than as part of a formal transparency process. Additionally, purchases and in-kind donations from Niger’s international partners are often lumped together, making it difficult to separate actual arms deals from military assistance packages [2][3][4]. In some cases, financing aspects may be disclosed de facto by international media, but not as an intentional act of government transparency.

Details of defence procurement transactions in Nigeria is often cloaked in secrecy and rarely made public [1]. Even when such procurement transactions are reported in the media specific contract details such as payment timelines, interest rates, commercial loans or export credit agreements are never made publicly available prior to the signing of contracts or even after the contracts have been signed. Much of what is available are notably the service providers (firms) expected date or batches of delivery of items, and the quantity [2].

The financial details of arms deals are not disclosed before contract signing, and no transparency processes are in place for such disclosures. Contracts for works, supplies or services considered to be secret, or whose execution must be accompanied by special security measures, or for which the protection of the essential interests of the State so requires, are not published. [1] [2] .Information such as payment timelines, interest rates, commercial loans or export credit agreements) are not made publicly available. The protection of national defencesecrets is governed by a strict legal regime. It applies to all Senegalese citizens (civilian or military) and to foreigners who, without being in a position to do so, disclose or disseminate, whether maliciously or not, information relating to national defense. armaments contracts also apply [4] . For instance, news of the nebulous arms supply contract between the Ministry of the Environment and a company called “Lavie Commercial brokers”, which allegedly failed to comply with contract award procedures, has caused an uproar over the past few days and continues to make the headlines in the press and on social networks. Following these revelations by a network of investigative journalists, relayed by our colleagues “Libération” and “Les Echos”, the Forum Civil has taken up the cudgels, calling for a self-referral to the public prosecutor. [3]

The details of major arms acquisitions are not made public including questions around financing packages and payment timelines. Pieces of information have, however, become available as a result of investigations. [1] [2]

Despite having the largest defence budget in the region, there is no publicly available information on the financial arrangements surrounding major arms deals in South Sudan. A review of media coverage from 2020 to 2024 [1], as well as an interview with a senior SPLM official [2], failed to uncover any public details regarding payment timelines, interest rates, or commercial loan terms disclosed before contracts are signed. This opaque nature of financing defence contracts is likely linked to concerns over corruption within the military. A report by the Financial Crimes Enforcement Network highlighted that “public reporting indicates that senior military officials in South Sudan have also engaged in corrupt practices similar to their political counterparts to enrich themselves, their families, and associates. Corruption has been particularly egregious in the procurement of military material and services, which account for nearly half of South Sudan’s annual budget” [3].

In the budget framework paper for the MoDVA, there is listing of purchase of items such as worth Ushs 91bn were acquired to ease mobility of equipment and materiel for troops in the Military Operations and maintenance of equipment. Assets for both Air capabilities and Motor vehicles were procured at cost of Ushs12.4bn. Classified equipment worth Ushs 994.7bn to enhance UPDF strength and capacity in accordance with the technological advancement and changing security environment. However, details about the acquisition remains within the UPDF establishment [2].

The contractual agreements involving arms deal are not made to the public, and this include information such as payment timelines, interest rates, commercial loans or export credit agreements [1]. The parliamentary portfolio committee on Defence, Security, and Home Affairs does not get any information related to arms deals, payment timelines, and any other credit involved [2]. This is classified information and is guided by the Section 4 of Official Secrets Act as it speaks to issues of national security [3].

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Ghana 50 / 100
Kenya 0 / 100
Liberia 25 / 100
Madagascar 0 / 100
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Mozambique 0 / 100
Niger 0 / 100
Nigeria 0 / 100
Senegal 0 / 100
South Africa 0 / 100
South Sudan 0 / 100
Uganda 0 / 100
Zimbabwe 0 / 100

With thanks for support from the Dutch Ministry of Foreign Affairs who have contributed to the Government Defence Integrity Index.

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