Building arms and ammunition for national security.
The Defence sector is one of the biggest sectors in the world. Every country allocates money from their annual fiscal budget for the defence sector making it a matter of national interest. Although the defence sector is a commercial industry its purpose is more than earning profits. It is meant to safeguard the lives of innocent citizens from attacks from enemies.
- The United States of America is the biggest spender in the defence sector with over $ 732 billion spent in 2019 alone.
- The top five countries with the highest spending for defence are - USA, China, India, Russia and Saudi Arabia.
- Generally the defence sector is operated by a country’s government and all companies that produce arms and ammunition are under government control. However, over time many countries have allowed the private sector to produce arms under strict supervision.
- The defence sector includes production of land-based weapons, vehicles, wearable tech for soldiers, communication systems and so on.
- According to research, in the face of increasing geopolitical tension due to a global pandemic, volatile economy and unstable governments, the defence spending is increasing and will continue to rise over the next couple of years.