Arms-exporting governments are reneging on their promises by failing to take into account the impact that the trade has on poverty, Oxfam says in a report published on Tuesday.
Sales are diverting resources from areas such as health and education.
The report, Guns or Growth, says six developing countries -- Oman, Syria, Burma, Pakistan, Eritrea and Burundi -- spend more on arms than they do on health and education combined.
It says governments that sell arms can assess the impact it will have on poverty, and that they should agree an international treaty to control the trade and safeguard sustainable development and human rights.
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