The Serbian desire to reduce Bulatoviß's influence has resulted in the disestablishment of republican defense and foreign ministries in favor of the Serbian-controlled federal bodies. Montenegro has resisted the initiative.
The Serbian military has been more visible as an actor in the conflict in former Yugoslavia. Serbia was traditionally the center of armaments manufacture in the former republic. Its military hardware industry has enabled Serbia to arm itself without being dependent upon imports. The need to create money to pay for domestically produced weapons was a major factor in the crippling hyperinflation of 1993.