Budget Allocated Next Year for K-2 Tank Equipped with Domestic Powerpack

K2 Black Panther tank developed by Hyundai Rotem, a domestic defense company

[Asia Economy Yang Nak-gyu, Military Specialist Reporter] Next year's monthly salary for sergeants will be increased to 608,500 won. Additionally, active-duty soldiers and full-time reservists will receive a monthly 10,000 won allowance for haircuts. As soldiers' monthly pay rises to 45% of the 2017 minimum wage level, the operating expenses for military power next year show the highest increase rate in the past decade.

According to the budget plan prepared by the Ministry of National Defense on the 1st, the 2021 defense budget was set at 52.9174 trillion won, a 5.5% increase from this year. The defense capability improvement fund, which is invested in building military power, was set at 17.0738 trillion won, up 2.4% from the previous year, and the operating expenses for military power were set at 35.8436 trillion won. In particular, the operating expenses increased by 7.1% compared to the previous year.

Next year's monthly salary for sergeants will rise from the current 540,900 won to 608,500 won. Compensation for reservist mobilization training (based on 2 nights and 3 days) will also increase from 42,000 won to 47,000 won. Soldiers will be provided with 10,000 won monthly to allow haircuts at civilian barbershops or salons. A monthly 11,550 won will be provided to purchase seven items such as skin care and lotion, while eight items including soap, laundry detergent, and razors will be supplied in kind. The per capita meal cost is 8,790 won per day, up 3.5%, and 293 more civilian cooks will be added. Special meal costs for holidays and birthdays were raised for the first time in 10 and 5 years, respectively.

To guarantee medical choice rights for illnesses and injuries during military service and strengthen state responsibility, a soldier group insurance system (13.4 billion won) will also be introduced. Support for soldiers' self-development activities (100,000 won per person annually) will be expanded from 80,000 to 235,000 people. 179.9 billion won was allocated to improve old and insufficient officer accommodations, and to increase support rates for short-term service officers (bachelor and ROTC), the short-term service incentive will be raised by 1 million won to 4 million won. As the standing forces are reduced to 500,000 by 2022, next year 2,315 non-commissioned officers and 5,367 civilian employees will be added, respectively.

Meanwhile, the Ministry of National Defense allocated 5.087 trillion won for 36 projects to respond to North Korea's nuclear and WMD (Weapons of Mass Destruction) threats, including strategic target strike capabilities, Korean-style missile defense construction, and overwhelming response power readiness. The Boramae project, Korea's indigenous fighter (KF-X), will receive 906.9 billion won, and 309.4 billion won will be invested in the third phase of the K-2 tank project equipped with domestically produced powerpacks. However, projects such as the F-35A fighter jets (reduced by 587.4 billion won), Maritime Patrol Aircraft-II (reduced by 270.4 billion won), and the 3,000-ton Jangbogo-III submarine deployment-I (reduced by 252 billion won), which will see reduced procurement numbers starting next year, were significantly cut.