Budget 2026: India to raise defence spend by 15.3% to Rs 7.84 lakh crore after a year of Pakistan war
India’s Defence Budget Sees Massive Boost in FY27
India’s defence budget for the fiscal year 2027 has surged to a staggering ₹7.84 lakh crore, marking a significant 15.3% increase from the previous year. This substantial hike emphasizes the government’s commitment to ‘Make in India’ and self-reliance in the defence sector.
Driving Growth: Operation Sindoor and Domestic Defence Production
The defence budget surge can be attributed in part to the success of Operation Sindoor, which has driven domestic defence production to record highs. This operation has not only boosted production but has also led to a significant increase in defence exports, further solidifying India’s position in the global market.
Streamlining Procurement: DAP 2020 and DPM 2025 Reforms
Reforms such as the Defence Acquisition Procedure (DAP) 2020 and the Defence Production Policy (DPM) 2025 have played a crucial role in streamlining the procurement process. These reforms aim to strengthen indigenous defence platforms and enhance combat readiness, contributing to the overall growth of the defence sector.
What This Means for India’s Defence Sector
The increased defence budget and the success of initiatives like Operation Sindoor signify a major shift towards self-reliance in India’s defence sector. With a focus on ‘Make in India’ and indigenous production, the country is poised to become a major player in the global defence market, reducing its reliance on foreign imports and boosting its economy.
Source: The Economic Times | Read original