The Russian government has proposed to increase total defense spending in 2017 by 179.6 billion rubles - to 3.05 trillion rubles or $52.4 billion (3.3% of GDP), as indicated in a draft amendment to the budget submitted to the State Duma, Rosbalt.ru reports.

The increase in expenses will be for the closed part of the military budget. The expenditures in all other areas, including social policy, education, and healthcare, are planned to be reduced by 54 billion rubles ($938.5 million). …

Ukraine and the United States of America have begun the joint production of small arms. Demonstration of the first batch of weapons took place on Thursday at the National Guard shooting range near Kyiv, reports Voice of America.

The venture is a joint project of the state concern Ukroboronprom and the American company Aeros. The weapon mainly being produced is an automatic carbine that works with both 7.62 mm cartridges and 5.56 mm cartridges. The former is standard for the Kalashnikov assault …

The German company BMW intends to build a full-cycle car assembly plant in Russia, Vedomosti newspaper reports citing a source familiar with BMW management. The probable location for the production facility is the Kaliningrad region.

The Kaliningrad Region is located in a special economic zone (SEZ), whose residents receive budget subsidies covering the costs of customs payments when importing components. As the interlocutor of Vedomosti specifies, welding and tinting of (cars’) bodies will be …

Budapest does not intend to violate European unity over the issue of sanctions against Russia, despite the conflict with Kyiv over education legislation, as stated by Hungarian Foreign Minister Péter Szijjártó in an interview with newspaper Kommersant.

According to him, while the Ukrainian law on education remains in force, Hungary will not support a single Ukrainian initiative or any important for Ukraine issue in any international organization. However, sanctions against the Russian …

The Kremlin has warned again that some US media activities in Russia may be restricted in response to US pressure on Russian state media.

"Clearly, in case of further pressure and violation of our media rights, it is impossible to exclude reciprocal actions," the Russian President’s Press Secretary, Dmitry Peskov said on October 6th. This statement was the latest in a series of threats from Russian officials.

On September 30th, the Russian Federal Service for the Supervision of Communication, …

A bill on the reintegration of the Donbas, which was adopted on its first reading, will provide an additional argument for the provision of Western weapons to Kyiv, as stated in the message of Ukrainian President Petro Poroshenko published on website of the presidential administration.

"This [draft law] further strengthens the legal framework for the use of the Armed Forces, expands their capabilities in the region. This strengthens the arguments in favor of providing Ukraine with defensive …

During a meeting with the defense attaché at the US Embassy in Ukraine, Thomas Wofford, Chief of the General Staff of the Armed Forces of Ukraine Viktor Muzhenko said that Kyiv is interested in engaging American specialists in measures to strengthen the security of weapons depos, bases and warehouses.  

"The Armed Forces of Ukraine demonstrate progress in reforming and moving to NATO standards, thanks to advisory assistance provided by US advisers, as well as training personnel units with the …

The presence of the Russian Armed Forces in the Donbas causes "no doubts", US Special Representative for the US Department of State Kurt Volker said.

“The statement that Russia manages and controls armed forces in the east of Ukraine does not raise any doubts today," he said in an interview with Gazeta.ru.

According to Volker, this has been confirmed through published photographs, including satellite imagery, information from social networks, interrogations of captured Russian servicemen, and …