The country's inferior sea defense capability is likely to get a boost by 2009, as the government explores buying three new warships from Russia worth about US$335 million and several "kilo-class" attack submarines possibly from Germany.

A Ministry of Defense team is currently in talks with Russian officials on the best way to buy the warships, which could include a corvette, a destroyer and a frigate.

"We are approaching the Russians to explore the possibility of buying the warships and a sea transport helicopter. I expect that within the next two months there will be a definite outcome on this matter," Ministry of Defense secretary-general Lt. Gen. Sjafrie Sjamsoeddin told The Jakarta Post recently.

He said the total price of the three warships and the helicopter were "about the same" as the two corvettes Indonesia bought in 2004 from the Netherlands, about $335 million in total.

The two newly built corvettes are scheduled to arrive in Indonesia in 2007 and 2008, with the Dutch government agreeing to gradually transfer warship-making technology to Indonesia.

"Based on the guidance from President Susilo Bambang Yudhoyono, the criteria for the purchase should be based partly on a relatively competitive price, but also on high quality. We believe Russia is (a war machine supplier) that meets both these requirements," said Sjafrie.

The country is expected to spend about Rp 28 trillion ($2.83 billion) this year on military spending, up from Rp 23.3 trillion in 2005. Most of the funds will be used to procure Navy and Air Force equipment.

However, any warship purchases from Russia were unlikely to be made any time soon, because of the government's limited ability to pay, Sjafrie said.

"There will be no massive buy-up of defense equipment and warships this year. Our focus will remain on maintaining and upgrading our war machines. Should there be a deal with Russia, it is unlikely to be realized this year," he said.

The government's wants a strong military force to deal with threats at home, such as separatist movements, and also to protect its borders.

The defense budget of the world's fourth-largest country is considered relatively low compared to smaller neighbors like Thailand and Malaysia.

It doesn't help that the Indonesian Military's equipment has been steadily deteriorating, partly as a result of the 13-year arms embargo imposed on Indonesia by the United States. That ban came after Indonesian troops and civilian militias committed gross human rights violations in East Timor. The U.S. only lifted the embargo in November.

Aside from warships, the government is also planning to buy two or three submarines capable of operating in deep waters. The first country being considered for the purchase is Germany, which is considered one of the world's best producers of kilo-class submersibles.

"We are planning to buy two or three kilo-class submarines between 2007 and 2009. We haven't decided on the country yet, but our best bet is currently Germany. But due to the budget constraints, we are also looking at other countries," said Sjafrie, refusing to mention a price tag.

Indonesia has only two diesel-powered submarines -- the Cakra and the Nanggala -- for its 3.2 million square kilometers of coastlines and seas.

Purchased from Germany in 1981, they are currently being overhauled in South Korea.