Of the R51.8-billion budget allocated to the Department of Defence and Military Veterans (DDMV) for the current financial year, R1.4-billion has been allocated to the Armaments Corporation of South Africa (Armscor) to manage the acquisition of defence prime mission equipment, development and maintenance of critical defence technologies, and the management of strategic defence facilities as regulated by a service level agreement between the department and Armscor. However, with this agreement coming to an end at the end of the current financial year, Defence and Military Veterans Minister Angie Motshekga has said it is imperative for Armscor to reevaluate its deliverables within the context of the financial challenges ahead.