Russia neighbors boost defence spend
Countries that border Russia have become increasing worried about outward aggression, following Moscow's annexation of Ukraine's Crimea region last year.
The president of Estonia, Toomas Hendrik Ilves, recently called for a permanent NATO presence in his country. In an interview with "The Telegraph" newspaper, he cited concerns over Russian military flights in the area and unannounced military exercises near the Estonian border.
Data from IHS Jane's Defence shows that Russia's neighbors, including Estonia, are bumping up their defence expenditure.
"The Baltics are all very, very worried and are already starting to rearm in a serious way," IHS Defence and Aviation Analyst Ben Moores told CNBC.
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Estonia is buying heavy, on-the-ground weaponry, including armoured carriers and self-propelled howitzer missile launchers, while Latvia is projected to spend $858 million annually on defence by 2025, marking an increase of nearly 9 percent from 2014.
IHS forecasts a 20 percent jump in defence spending in Finland—which borders Russia to the north west—over the next 10 years. Norway, meanwhile, is diverting defence spending towards "military capability" in the Arctic, which Moores said was entirely in response to Russian actions.
Moores said the spending increases were definitely in response to events in Ukraine.
"You don't buy long-range air defence equipment because you're going to do peace-keeping," he told CNBC.
Clarification: This story has been updated to reflect that the cyber drills this year will test threats coming through Windows 8 and 10 operating systems, among others.