http://www.thejakartaglobe.com/news/germany-approves-tank-sale-to-indonesia-industry-source/

Germany Approves Tank Sale to Indonesia: Industry Source 
By Sabine Siebold on 9:12 pm May 3, 2013.
Category News
Tags: armored vehicles, German Chancellor Angela Merkel, Germany, 
Indonesia-Germany relations, Indonesian Military TNI 
Berlin. The German government has approved the sale to Indonesia of about 100 
used Leopard 2 tanks and 50 armored personnel carriers but has put off a 
decision on a tank sale to Saudi Arabia, a defense source said on Friday.

Germany’s national security council, which includes Chancellor Angela Merkel 
and some cabinet ministers, must approve large arms sales and the government 
never comments on its decisions.

Indonesia, southeast Asia’s largest economy, had previously indicated it would 
buy 130 Leopard tanks from Germany’s Rheinmetall AG as part of a $15 billion 
five-year campaign to modernize its military.

The German source did not say how much the deal was worth but Indonesia said 
last year the value of the initial agreement to buy 130 tanks was $280 million.

Indonesia, which has economic growth of above 6 percent, is wary of being left 
behind as China, Vietnam, Thailand and other Asian nations ramp up defense 
spending. This year it announced plans to buy more than a dozen Russian Sukhoi 
fighter jets as well as domestically made, missile-equipped patrol ships.

The industry source said Berlin would delay a decision on whether to sell tanks 
to Saudi Arabia until after the federal election in September. It is a 
sensitive issue in Germany where the opposition criticizes sales to some Middle 
Eastern countries because of their human rights record.

Reuters


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