Middle East defense budgets grew by 12.1 percent in 2013, according to IHS Jane's Defence Budgets data, with four of the top five fastest-growing defense spend figures from countries in the region.
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Oman's defence budget increased by 35.7 percent in 2013 from the year before, while Iraq's spending increased 32.4 percent in the same period.
IHS' report also highlighted that, as the Middle East looks to develop its non-oil-sector economy to boost growth, defense spending is one way to promote the building of infrastructure and job creation.
"Economic diversification is seen as one avenue to achieve long-term economic goals, defense industrialization is viewed as a route to economic change and an opportunity to create jobs for nationals," IHS said in a press release.
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A number of major defense and aerospace companies have been eyeing up the region recently, looking to strike deals. In February, Saudi Arabia agreed to buy 72 Eurofighter Typhoon jets from BAE Sytems for an undisclosed fee. The UAE is currently in talks over a $270-million weapons deal with Lockheed Martin.
Despite this vibrant activity in the Middle East's defense sector, however, not all experts are convinced by IHS' spending forecasts, given the economic and political uncertainty in the region.
"The amount they will spend will depend on economic performance, their internal stability and external relations. All three of those are currently very uncertain," Ron Smith, professor of applied economics at Birkbeck University, told CNBC in a phone interview.